Back in 2013, Dallas hauled itself out of one of its longest-running housing crises, and its real estate market has been bursting ever since. Strong demand for affordable housing caused increases in certain neighborhoods. Housing speculation contributed to pushing prices over the top. As of 2016, Texas is still the homebuilding center of America, but its home costs are growing. That, and a dipping job growth, causes analysts to predict a diminishing housing inventory with fewer residents seeking homes.

Market Insights

In 2015, granted Dallas the distinction of being the fifth-hottest real estate market in the United States, preceded only by Denver and four Californian markets. But in 2016, Realtor published another list of markets for readers to keep their eyes on, and Dallas was nowhere to be found. Dallas's real estate costs had been growing by double-digits to the point of causing a speculator scare. In 2015, Dallas/Fort Worth had 26,905 housing startups, with 917 more from the year before, according to By 2016, reported that an average house in the DFW district cost almost $280,000, with sharp increases in land and construction costs pushing the price to $300,000 in many neighborhoods. That’s still less than similar houses sold in Manhattan or Los Angeles, but the tag is higher than five years ago.

As of 2016, Dallas real estate seems to be leveling out, and the energy fall-off, for one, has an impact. Oil prices dipped to 12-year lows in December 2016. Employment is still sizzling but showing signs of a slowdown with the oil downturn.

Other factors that impact the Dallas real estate market include the fact that it is millennials who make up the majority of homebuyers; however, millennials make different decisions when buying houses than homebuyers did decades ago. Millennials tend to value functionality and economy over aesthetics; therefore, they look to share or rent and, when they buy, most prefer smaller lodgings than villas. Most millennials trend to urban cities rather than the suburbs. Furthermore, the government has tightened its lending policies with regulations, such as the Dodd-Frank Act, which has caused fewer engineers to build (since many seek loans to do so), fewer residents to buy and a diminished housing market that causes prices to rise. In short, the housing rush has cooled down and homeowners are beginning to feel the pinch.

Property Tax and Transfer Tax

Texas is one of 12 states in the U.S. that has no property transfer tax. This makes its property tax more expensive than in some other states. Property taxes vary according to region and are calculated by multiplying the assessed value of the property by the total combined mill rate levied by the authorities of each region. Mill, also known as a thou, represents one thousandth of an inch. In Dallas, homeowners pay $2,805 for a home valued at $128,300.

Most Expensive Neighborhoods

Jumper's 2016 February National Rent Report found Dallas to be the 20th most expensive city to rent in America. Its five most expensive neighborhoods were Preston Hollow East, Highland Park, Brookshire Park, M Street and Caruth Hills. The median sales listing price for homes in these areas was $1.5 million in 2016, according to Rents for one-bedroom apartments ranged from $2,900 in Preston Hollow East to $1,880 in Caruth Hills. Lower down the scale, lodgers could expect to pay $1,785 for such an apartment in the still popular, but cheaper, Victory Park. The median rent for a downtown Dallas home, in May 2016, was $1,525.

Top Real Estate Websites

The Good Home Team promises that it has every listing from every real estate company in the greater Dallas/Fort Worth area. It offers a free market analysis to sellers, with the Team offering to help them prepare their homes for the market and to answer their questions. provides current Dallas residential real estate market information, home listings, and extensive insights on the best DFW school districts and best places to buy a home in the DFW district. is the official website for The Dallas Morning News newspaper. The Dallas Morning News updates readers on residential real estate topics.

El Paso Real Estate Market

Related Articles
  1. Investing

    Real Estate Vs. Stocks: Which One's Right For You?

    There are ups and downs for both real estate and stock investments, so before diving in, know the differences between the two.
  2. Investing

    A Guide to Real Estate Investing

    Investing in real estate is a popular choice for good reasons, but it's more complicated than owning your typical stocks and bonds.
  3. Investing

    The Advantages of Real Estate Versus Stocks

    Real estate investments shouldn't be overlooked as a way to diversify a portfolio and help mitigate risk.
  4. Investing

    Investing in Real Estate Without Buying Property

    Investing in real estate properties can be pricy, but there are options to invest for less.
  5. Investing

    5 Mistakes Real Estate Investors Should Avoid

    Don't let a slow real estate market drag you down - steer clear of these pitfalls.
  6. Investing

    Can Real Estate Stabilize Your Portfolio?

    History suggests that real estate can provide diversification and a hedge against inflation.
  7. Managing Wealth

    The 10 Most Expensive ZIP Codes in Dallas

    Everything is big in the Big D, and the poshest neighborhoods are no exception: Your money will buy a lot of house in these Dallas enclaves.
  8. Investing

    8 Ways To Make Money With Real Estate

    With today's buyer's market, you may be thinking of diving into the real estate market. Here are some unexpected ways you can use real estate to boost your finances.
  9. Investing

    How to make money in real estate

    If you're interested in the real estate investment, check out these factors that will affect your investment return.
  10. Managing Wealth

    The Truth About Real Estate Prices

    Historical housing price data suggests ongoing increases in housing prices, but these numbers don't tell the whole truth.
Frequently Asked Questions
  1. How Do I Use Software to Make Arbitrage Trades?

    Understand the meaning of arbitrage trading, and find out how traders leverage software programs to detect arbitrage trade ...
  2. What is the difference between market capitalization and market value?

    Understand the difference between market capitalization and market value, including the elements used for the calculation ...
  3. How is an accrued interest entry made in accounting?

    Learn how to create common journal entries for accrued interest, including adjusting entries and delayed bond issues sold ...
  4. What's the largest charitable donation Warren Buffett ever made?

    Learn about Warren Buffett's biggest financial contributions and how his estate is to be divided between charity and Buffett's ...
Trading Center