D-FW one of top markets for home price gains in 2016, but 'a major concern for homebuyers' looms

The Dallas News - Steve Brown - 20 January 2016

Dallas-Fort Worth had one of the biggest home price jumps in the country in 2016.

D-FW home prices shot up 11.6 percent, compared with a 6.8 percent nationwide increase, according to a report by Zillow.

Only Portland, Ore.; Tampa; and Seattle had higher annual home price gains than North Texas in 2016.

"Home values ended 2016 growing at their fastest pace of the year, which could be an indication of what to expect in 2017," said Zillow chief economist Svenja Gudell. "Lack of inventory will remain a major concern for homebuyers this year.

"Especially lack of available entry-level homes, coupled with high demand, will continue to rapidly drive up home values in the near future," Gudell said.

Nationwide, there were almost 5 percent fewer homes for sale at the end of 2016. In the D-FW area, the inventory of houses was 7.7 percent lower.

At $201,400, D-FW's median home prices at year end were slightly ahead of the nationwide median of $193,800, according to Zillow.

North Texas home prices have risen more than 40 percent in the last four years and are at record levels.