DFW Home Sales Down, Median Prices Up: Where Are the Loans?

Sales of existing single-family homes in North Texas slid 11 percent in January, or so everyone is reporting, but here’s the good news: the median home price rose 8 percent, this from the Texas A&M Real Estate Center said Tuesday.I think we need to keep our eye on that ball.

In January 2011, 3,073 homes were sold in the 29-county region, down from 3,330 in January 2010, the Center said. But remember that January 2010 number was inflated by the first-time homebuyer’s program.

So it was the eighth straight month that home sales were down from a year earlier, but I see that as no cause for concern other than to ask, again, why are the banks not loaning out money? In fact, instead of another first-time homebuyer’s program, why don’t we have a first-time home borrower program? I hear story after story of wealthy people with great credit who cannot get loans simply because they do not have a W-2. We bailed out the banks, but here we are, two plus years into this recession, still no loosening of the loan strings.

On a very positive note, I think, the median home price was up 8% in January to $140,010 from January 2010. That may have happened because of a flux of high-end home sales, such as that of the Jonas Brothers K2. The best case scenario is that if we can hold home values steady for a few years ’till the banks loosen up, people will get loans and then start buying all over.

8 Comment

  • One thing to clarify this bill does not extend the deadline for home buyers to sign a contract for a home and hence qualify for the tax credit still April 30th rather it extends the deadline for closing the transaction from June 30 to Sept.30..The National Association of Realtors estimates that this new extension will help about 180 000 home buyers who already signed purchase agreements and were likely to miss the Wednesday deadline..The has also released more details on the approved extension and required documentation .To avoid refund delays those who entered into a purchase contract on or before April 30 but closed after that date should attach to their return a copy of the pages from the signed contract showing all parties names and signatures if required by local law the property address the purchase price and the date of the contract..Besides filling out Form 5405 First-Time Home buyer Credit and Repayment of the Credit all eligible home buyers must also include with their tax return one of the following documents . Mortgage lenders usually require the document before closing on a loan..With all the hoopla around claiming the credit and a strong push from various realtor groups Senate Majority Leader Harry Reid proposed a three-month deadline extension as part of the jobs and tax extender act amid concern that a rush of buyers created too big of a backlog.

  • One thing to clarify this bill does not extend the deadline for home buyers to sign a contract for a home and hence qualify for the tax credit still April 30th rather it extends the deadline for closing the transaction from June 30 to Sept.30..The National Association of Realtors estimates that this new extension will help about 180 000 home buyers who already signed purchase agreements and were likely to miss the Wednesday deadline..The has also released more details on the approved extension and required documentation .To avoid refund delays those who entered into a purchase contract on or before April 30 but closed after that date should attach to their return a copy of the pages from the signed contract showing all parties names and signatures if required by local law the property address the purchase price and the date of the contract..Besides filling out Form 5405 First-Time Home buyer Credit and Repayment of the Credit all eligible home buyers must also include with their tax return one of the following documents . Mortgage lenders usually require the document before closing on a loan..With all the hoopla around claiming the credit and a strong push from various realtor groups Senate Majority Leader Harry Reid proposed a three-month deadline extension as part of the jobs and tax extender act amid concern that a rush of buyers created too big of a backlog.

  • Pingback: House Blueprints - House 28233 plan

  • Pingback: House Blueprints - House 28233 plan

  • Great article. An 11% drop off (my calc. looks more like 7-8%) considering 15-20% of buyers in 2010 would not have been buying if it wasn't for the credit, is not bad. That means DFW is plugging right along with it's steady growth. The 8% increase in median price says a lot, especially since all those foreclosures are still being absorbed. We just need to keep taxes low, which brings businesses & keeps our employment strong, and we will continue to have one of the better housing markets in the country. Articles like this give me hope that maybe the DMN will get rid of negative nelly Steve Brown and hire you!

  • Great article. An 11% drop off (my calc. looks more like 7-8%) considering 15-20% of buyers in 2010 would not have been buying if it wasn't for the credit, is not bad. That means DFW is plugging right along with it's steady growth. The 8% increase in median price says a lot, especially since all those foreclosures are still being absorbed. We just need to keep taxes low, which brings businesses & keeps our employment strong, and we will continue to have one of the better housing markets in the country. Articles like this give me hope that maybe the DMN will get rid of negative nelly Steve Brown and hire you!

  • Steve Brown has never written anything knowledgeable about the Dallas residential real estate market. And he lumps the whole metro area together. Should totally stick to commercial. If interest rates start creeping up, you will see people buying these homes with more haste.

  • Steve Brown has never written anything knowledgeable about the Dallas residential real estate market. And he lumps the whole metro area together. Should totally stick to commercial. If interest rates start creeping up, you will see people buying these homes with more haste.