March 30 #Coronavirus: "It sometimes changes by the hour"

March 30, 2020 by Ted Bauer

Some facts we know at this moment

  • Across all of Texas, 357,238 homes were sold in 2019. That was a 4% increase over 2018. The projection for 2020 had been 5-10% growth, but now that appears to be 1% growth. (And yes, they are still projecting growth.)

  • From the same article linked above: “The Dallas-Fort Worth region — especially on the Metroplex’s west side — has long been known as a mecca for affordable, high-quality housing. But the cost of new homes has jumped 58% during the past seven years, and the once-ample supply of houses priced at $250,000 and below in neighborhoods with low crime and highly-rated schools has all but disappeared.” 

  • We don’t know exactly what this will do long-term to house prices, but for example, the median home purchase price in Fort Worth alone has increased 58% since 2014. It’s very unlikely that most people have seen their income/salary increase 58% in that same time frame. Part of that 58% is justified by relocations and population surge, but you would think that number will reduce a bit, especially if layoffs are a common reality of the full stretch of coronavirus.

  • Developers are still building and selling, as construction is considered an “essential” activity. Altura Homes, for example, has sold 20 homes in the past two weeks -- which has been the core of the pandemic crisis. They can keep building often because the process of building a home only requires 5-10 people to be inside at a given time, thus social distancing can be maintained. 

  • Others in the development game have noted this is a “fluid situation” that “honestly changes by the hour.” Indeed.

  • On the leasing side, while most people we are talking with prefer to stay month-to-month for now, DFW complexes have stepped up with virtual tours and offers. We would argue against stasis in this moment, but it’s a completely personal decision.

  • Here’s what we know currently re: Dallas, Tarrant, and Collin Counties.

  • We had 733,881 apartment units -- with 24,486 recently opened and 29,238 under construction, per late 2019 stats. 

  • The general belief is that DFW will emerge “stronger than ever,” although the timetable is unclear. One of the core arguments around DFW’s re-emergence is that, post-health concerns as the economic rebuild begins, it will be an attractive location for businesses to move to. Even in the midst of coronavirus taking hold of every story, Metro by T-Mobile announced it was moving HQ to Frisco.

That’s what we know as of Monday, March 30, 2020. Onward and upward, y’all. 

About the Author

Ted Bauer

Ted Bauer is a writer/editor for White Rock Locators focused on as much cool content about the DFW Metroplex rental scene as he can possibly find week-to-week.