Dallas Homes Center

You might be curious just how prices have been effected the last two years in the bubble zip codes.  Not the bubble bursting real estate market as in Florida, California, Nevada and Arizona but as in the bubble zip codes, namely and fondly - 75205, 75225 and 75230 - Park Cities and around plus Preston Hollow.   Biggest hit would be Highland Park 1.7M to 1.36M, respectively, that’s a 20% cut - Ouch! University Park has fared much better  - only a 4.1% decline.  And Preston Hollow’s median price down around 6.25%.  The real estate downturn in Dallas is because of jumbo financing not being readily available, buyers are around you just need to be creative to make a deal work.  It is so true the bigger they are the harder they fall, some at least.

Has it stabilized?  One way to determine “How’s the market?” is to get a barring on demand.  The above chart is broken down by price quartile.  High end market is black and as you can see demand is weak, same for the orange line but better than black, but demand is picking up.  The blue line is lower priced properties, let’s just say under $350K.  Hovering around 20 is where you’ll find activity and multiple offer scenarios.  Where the market action index gets back to 30, the market will favor the seller, that will be while.  Financing is still an issue for jumbo loans, however properties in the $3 million to $5 million dollar range are selling, go figure…at least most of the lines are heading in an upward direction and that is a positive sign.

This listing popped up last weekend on the MLS as a foreclosure - it’s been on the market for 8 days as such. Before then it was on the market for 721 days to be exact.  Started at $5,500,000 down to $3,895,000 now as a foreclosure the price has gone up again to $4,500,000.  This is some of the manipulation we see by banks to recoup losses in prime real estate areas.  I really don’t blame them but what makes them think they can get more then 2 years ago when the real estate market was better?  Can’t figure that one out, maybe they know a low ball offer is coming and want to buck up for that!  There was a photo on the MLS last week but none today just a blank stare, so I got this off the tax records. Any takers?  Don’t forget to look at open houses this weekend if you can bare the heat - over 80 to preview…check the link to the right and stay cool…
Take a Rheims street view tour below.

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more detail on 2484 Greymoore Drive click here.

Now that we’re almost half way through the year…  Can you believe it?  I’m very happy we’re almost through this market and don’t have it to look forward too.  Amen.  Here’s a few graphs to show you the state of the market.   Alas, not too good but improving as I write this, credit market seems to definitely be thawing some and high end properties are closing you will see that more apparent in June numbers. But until then lets take a look at where we are now…

Year to date Park Cities sales are roughly down 48%. Ratio of sales to original list price is an unheard of 88.7%, meaning seller concessions are being made and I do believe that is because of all the inventory available. It’s up 28% above last year.  The market has started much later this year but see things starting to churn now that school is out.  Park Cities pricing is very competitive and the lowest seen in years. Time to buy? Absolutely yes!