San Antonio, El Paso, Houston and the Dallas-Fort Worth metropolitan area have seen a significant shift in the housing market. Home listings have increased while the number of homes sold has decreased. According to a report from Zillow, homes in North Texas are spending more time on the market and more than a third of homes for sale have experienced lower prices. The cost of building a home is increasing, making it difficult for builders to get the necessary materials to finish houses due to supply restrictions.
This has caused many sellers to reduce prices in order to attract buyers who face higher mortgage rates, inflated home prices and inflation. Real estate experts believe that a six-month home offer is a healthy balance between buyers and sellers. Mike Dishberger, a townhome developer in Houston and incoming president of the Greater Houston Builders Association, said that's because there weren't as many buyers looking for homes. AboR found that the inventory of homes for sale in the area increased to 2.9 months in August, and that the number of closed sales fell 23 percent month-on-month and the number of days it takes for a house to sell increased 17 days.
As the housing market cools down, tenants should also benefit from some relief. Prices are no longer rising like before and some places are even offering price cuts to attract buyers in a changing market. The Texas housing market is slowing down due to higher interest rates, but it's still healthier than the rest of the country. Real estate experts don't expect home prices to fall anytime soon because Texas continues to gain thousands of residents and its labor market continues to grow, but they do expect prices to grow more slowly than in the last two years.