Dallas has 2nd shortest days on the market

Posted by Emily Ray-Porter Group on Friday, January 18th, 2008 at 10:52am.

  Thursday, January 10, 2008

By STEVE BROWN  

  

With the drop in home sales this year, it's taking a little longer to sell a home in North Texas.

But a new comparison of major U.S. housing markets shows that the Dallas area still has one of the lowest average sales times in the country.

Only Denver has a quicker average sales time than Dallas, according to a multicity comparison released this week by Altos Research Co. and Real IQ.

The new report estimates that it takes about 80 days to sell a house in Dallas, compared with an average of 110 days for the cities surveyed.

Average sales times were even higher in Miami (143), Detroit (136) and Minneapolis (136).

A year ago, it took an average of 77 days to sell a house in Dallas.

"I would say the Dallas market is probably weak relative to its performance a year ago, but doing a whole lot better than other markets," Stephen Bedikian, a partner in New Orleans-based research firm Real IQ, said Thursday.

"The level of price appreciation in Dallas over the past five years was a great deal less than the coastal markets," he said. "You still have to deal with the credit crunch, but affordability is less of an issue."

Dallas was one of only two cities – along with Phoenix – that had an increase in the median price of homes listed for sale.

Both Dallas and Phoenix had a scant 0.1 percent rise in median home listing prices in December compared with November.

Several cities in the comparison had double-digit declines in listing prices, according to the studies of more than 1 million houses listed for sale.

"Sellers continue to adjust their price expectations downward but not quickly enough to keep pace with declining demand," Mr. Bedikian said.

"Until we see declines in both inventory levels and days-on-market, we won't have any confidence that supply and demand are balancing out."

Dallas area inventory shows signs of leveling out.

Altos Research estimates that the number of homes on the market in the Dallas area dropped 8 percent in December compared with November. However, such declines are common during the holiday period.

December's total listings were unchanged from the same month of 2006, according to the North Texas Real Estate Information Systems Inc.

"Declining inventory levels are essential to a recovery in the housing market," said Michael Simonsen, CEO and co-founder of California-based Altos Research.

"However, if the economy continues to slow or enters a recession, we may see inventories balloon again in the spring and downward pricing pressure on sellers will intensify."

 

 

 

HOW LONG TO SELL A HOME

December comparison of the average number of days to sell a house based on more than 1 million listings in major cities :

 

Miami

143

 

Detroit

136

 

Minneapolis

136

 

Chicago

133

 

Cleveland

127

 

Las Vegas

126

 

Washington, DC

116

 

Seattle

115

 

Boston

110

 

Charlotte

107

 

Los Angeles

105

 

Atlanta

102

 

Portland

99

 

Phoenix

89

 

San Francisco

84

 

San Diego

83

 

Dallas

80

 

Denver

77

 

SOURCE: Altos Research Co. and Real IQ

 

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