North Dallas/Richardson/Plano Real Estate

Sales were flat in August and we saw a small decline in the average and median sales prices. Pending sales were up slightly while the number of new listings and active listings continues to shrink. Active listings fell 35% leaving us with only 225 homes on the market. This represents a 2.9 month supply.

As I have been saying now for several months, I you are looking to purchase a home in Richardson, you have very little to choose from. The best homes are going quickly! You better have a good agent that stays on top of the new listings and can get you in to see them the first day they hit the market are you will miss out!

Sales: 100

Average Sales Price: $177,123

Median Sales Price: $162,350

Pending Sales: 86

Active Listings: 225

Average Days on Market: 52

Months Inventory: 2.9 

After a strong month of sales in June, July saw a very small decline of 1% in the number of sales. The average sales price increased by 5% and the median sales price increased by 10%. Days on market decreased to 48 days.

The number of active listings continued its decline shrinking by 30%. The months of inventory is now 3.3 months. This is an extreamly low level and means if you are looking for a house in Richardson you have very few to chose from. The best houses are going quickly!

Sales: 119

Average Sales Price: $178,026

Median Sales Price: 166,250

Days on Market: 46

Active Listings: 254

Months of Inventory: 3.3

Yes! Yes! I know! Sales are terrible and we are over run with foreclosures or at least that what you hear on TV and read in the papers.

Well here is the truth! 

June saw a 26% increase in sales in the Richardson market. This increase was accompanied by a 4% increase in the average sales price and an 8% increase in the median sales price. Pending sales increased by 21%. While the number of new listing dropped by 2% and the number of active listings declined by 35%. This decline in the number of active listings along with the sharp increase of sales left the Richardson market with only a 3.2 month supply of homes on the market. This is an extremely low number!

Listing Agents are reporting that they are receiving multiple offers on the best properties as soon as they come on the market and Buyer Agents are saying that their clients are having to make offers over the listing price to get these properties. This is perticulary true in the West Richardson area.

This demand is being fueled by the shortage of quality properties currently on the market.

If you want to buy in the Richardson market, you better have a top agent that can get you in the best properties the day they come on the market and you better be prepared to write a full price offer or higher as soon as you get back to you agent's office if you expect to get the house.

June Sales:

Sales: 121

Average Sales Price: $184,214

Median Sales Price: $169,000

Pending Sales: 97

New Listings: 138

Active Listings: 251

Months of Inventory: 3.2

For May sales in the metroplex were off by 24% and the average sales price declined by 5%.

Richardson fared much better. Sales were down in Richardson by 13% but the average sales price was up by 2% while the median sales price was down by 2%. These 2 small changes in price really indicate a flat sales price. While the number of active listings and new listings continued to decline, pending sales saw an increase for the first time in months.

The continued decline in the number of homes on the market is creating a real shortage in the market place. The homes that are priced correctly and have been updated are going very quickly. Sometimes in 1 day. 

If you are thinking about buying a homes in West Richardson you better be prepared to make an offer on the first home you see that meets your wants and desires because if you wait for several days to make up your mind, it will probably be gone. 

MAY SALES DATA:

SALES: 90 A 13% DECREASE

AVERAGE PRICE: $181,954

MEDIAN PRICE: $162,000

DAYS ON MARKET: 54

PENDING SALES: 86

NEW LISTINGS: 143

ACTIVE LISTINGS: 307

MONTHS OF INVENTORY: 4

The last 2 weeks have seen buyers coming back into the market! I'm currently working with several buyers and Realtor I talk to says they are too. I don't know if the increase in mortgage rates have gotten buyers off center or just a better feeling about the economy but what ever it is it's a very positive sign.

If you are a buyer you better have a good agent who can get you in the homes the day they come on the market because the best homes are going fast.

In my blog of yesterday I stated that foreclosures were not impacting values in Richardson.

This morning I opened up the business section of the Dallas Morning News  to find the headline FORECLOSURE SALES DRAG PRICES DOWN. The first paragraph of the article said" An increase in foreclosure sales helped pull down Dallas-Fort Worth home prices in the first quarter".

If you took the time to read the article your would find deep down on page 5 of the paper "Along with foreclosures, median home prices in the Dallas-Fort Worth area have been pushed lower because of a plunge in the sale of high-end homes."

An example of what they are talking about is:

In April of 2008 there were 3 sales in a City. One sold for $100,000, one for $200,000, and one for $300,000. The average sales price was $200,000. Now let's jump forward to April 2009. We had one house sell for $100,000 and one sell for $200,000. The April 2009 average sales price is $150,000. The average sale price dropped 25%. Did prices really drop or did we just not have a sale at the top end of the market?

Granted this is a very simple example, but it does serve to demonstrate how sometimes statistics can be deceiving and reminds me of a quotation I believe came from Mark Twain " There are lies, damn lies, and then there are statistics."

Too many people get caught up in the headlines, don't read the whole story, and think it's about the local market when the story is really talking about what is happening in California, Arizona, Nevada, and Florida.

Yes, if you are looking in the south part of Dallas County you will find some neighborhoods impacted by foreclosures but, in general, not in North Dallas, Richardson, or Plano. What is impacting sales is the belief by buyers that there is this great pool of foreclosures on the market and that homes that are not foreclosures should sell for greatly reduced prices.

Sales continue to be weak in Richardson. For the month of April there were 56 properties sold. This represents a 52% decline over last April's sales. The average sales price declined to $155,997, a 9% decrease, and the median sales price declined to $149,500, an 8% dropoff.

The number of pending contracts fell 29% to 72. The number of new listings fell 16% to 126. At the end of April there were 299 homes for sale. This represents a 21% decline.

 Richardson only has a 3.9 months supply of homes for sale. This is an extreamly low number and if you are a Buyer you have very few homes to chose from.

I know the media says that the price decline is due to the high number of foreclosures on the market, but this is not the case in Richardson. The truth is there just are not that many foreclosures in Richardson. The foreclosures that do exist are scattered throughout the City and are not impacting any neighborhood values.

For the week covering 4/27 through 5/3 the following statistics were reported by MLS.

New Listings: 27

Average List Price: $236,620

Pending Sales: 5

Average Pending Price: 234,580

Solds: 17

Average Sales Price: 156,985

Average Days on Market: 62

There are currently 256 single family homes on the market with an average asking price of $224,432.

This report only covers single family homes.