The 494 existing northwest Dallas suburban single-family homes reported sold during March represented a 6.6 percent drop from the 529 homes sold during the same month a year ago. As was the case in February, all of this decrease, and then some, was due to an even larger decrease in the sale of homes costing less than $300,000. March sales overall were down by 35 units, while sales of homes priced at less than $300,000 were down by 58 units. For February, revised sales figures show that 49 fewer homes overall were sold this year, while 60 fewer homes, priced at less than $300,000, were sold.

This, of course, means that the number of higher priced homes sold in the area was up for both months. In March, sales of the homes priced at $300,000 and above climbed 11.0 percent. During February, sales of these higher priced homes were up 7.3 percent.

As also was the case at the end of February, the number of listings for homes priced at less than $300,000 dropped, though again not nearly to the same extent as sales. According to data compiled by North Texas Real Estate Information Systems Inc., 7.6 percent fewer homes priced at less than $300,000 were listed for sale at the end of March than a year ago, while listings of higher priced homes were up by 30.7 percent. Overall, listings of pre-owned homes were up 16.1 percent.

Unlike in February, the inventory of pre-owned homes available for sale decreased significantly within the northwest Dallas suburbs, from a revised 5.3 months supply in February to 4.0 months supply in March. This is similar to the 20 to 25 percent drops in inventory that occurred between February and March each of the past two years. It should be noted, however, that this inventory level also is nearly 25 percent higher than the 3.2 months supply of existing homes listed for sale a year ago.

Despite still decreasing sale volumes and higher inventories, buyers purchasing homes in the northwest Dallas suburbs this March paid 2.8 percent more than was paid for similar homes a year ago. However, as should be expected, this level of appreciation has fallen somewhat from February's revised 3.7 percent and January's 4.0 percent annual increases.

Home values continue to appreciate across all price ranges. Compared to a year ago, the square foot price of a typical $250,000 northwest Dallas suburban home sold during the three months ending in March increased by 4.0 percent, to $95.37, and the square foot price of a typical $350,000 home sold was up .8 percent, to $105.24. The square foot price of the typical $450,000 home increased slightly, by .5 percent, to $121.04. The average square foot price of homes selling for less than $200,000 was up 4.6 percent and the square foot price of homes selling for more than $500,000 was up 3.3 percent.

The $290,000 median price of pre-owned homes sold during March in the northwest Dallas suburbs increased by 10.8 percent over the $261,750 median price posted last March and was up 8.9 percent over the $266,250 median price homes sold for in this area during March two years ago.

The average length of time required to sell a home dropped to 60 days in March. This is 13.0 percent less than the 69 days required to sell a home during February, but 15.4 percent longer than the 52 average days required during March a year ago.

Market Highs And Lows

Though relatively fewer higher priced homes are sold in Trophy Club than in most other northwest Dallas suburbs, it had the largest annual three month average home price increase. The average price increase in Trophy Club was 9.6 percent. Colleyville was close behind with a 7.4 percent increase.

Only the Argyle, Bartonville, Copper Canyon and Double Oak area showed a price decrease. Homes there sold for 1.7 percent less than during March a year ago. Somewhat surprisingly, the northwest Dallas suburb with the smallest average price increase for the quarter was Southlake, where homes sold on average for only 1.2 percent more than a year ago.

For the third month in a row, Grapevine had the lowest inventory of pre-owned homes among the northwest Dallas suburbs, this time with a 2.3 months supply of homes available for sale. Also for the third month in a row, Flower Mound was in second position, this time with a 2.5 months supply of homes listed for sale.

West Plano slipped to last place with 8.4 months supply of previously owned homes for sale. With a 6.2 months supply of homes for sale, Southwest Frisco had the next highest inventory.