Still overvalued — that’s the latest assessment of the Dallas housing market by one of Wall Street’s big ratings firms.
DFW is one of six major U.S. metro markets where Fitch said that home prices were overheated in its second-quarter survey.
“Fitch estimates that home prices in approximately 18% of the country’s metropolitan areas are more than 10% overvalued,” the new analysis says. “Close to one-half of these counties are in Texas, Florida and California.
“Among the top 50 most-populated metropolitan areas, San Antonio, Austin and Las Vegas are estimated to be more than 20% overvalued. Fitch Ratings estimates that national home prices are currently 1.4% overvalued on a population-weighted average basis.”
The DFW area has been on Fitch’s home price watch list for several years now.
The just-released report shows that Las Vegas home values are the most out of whack — 20% to 24% overvalued.
North Texas home prices have shot up by almost 70% from where they were at the worst of the recession to current record levels.
So far in 2019, median home sales prices by real estate agents are up only 2% year-over-year. That’s less than half the rate of appreciation at this time in 2018 and much less than the double-digit percentage gains the market saw in 2016 and 2017.
Tribune Content Agency