February 2024 Housing Report

In February, Fort Worth witnessed a continued upward trend in inventory alongside a notable increase in the median home price, which rose to $329,000, marking a 0.9 percent increase compared to the same period in 2023. Active listings in Fort Worth surged by 25.4 percent, while Tarrant County saw a similar uptick of 28.7 percent. Despite this, closed sales experienced a slight downturn of 2.2 percent in Fort Worth and 4.1 percent in Tarrant County.

Over the past few months, inventory levels have been steadily rising, reaching 2.5 months in Fort Worth and 2.4 months in Tarrant County. According to the Texas Real Estate Research Center at Texas A&M University, a balanced market typically exhibits around 6.5 months of inventory. Blake Barry, the 2024 President of the Greater Fort Worth Association of REALTORS®, noted a slight decrease in days on the market in Fort Worth, indicating heightened buyer activity as more options become available, particularly with the onset of the spring market.

Nationally, the housing market’s recovery has been slower than expected, with pending home sales declining by 4.9 percent in January, as reported by the National Association of REALTORS® (NAR). However, there was a surge in sales of newly built homes, attributed to the historically low supply of existing homes.

Housing affordability remains a concern for many prospective buyers, with even minor fluctuations in mortgage rates having significant repercussions. Mortgage rates recently saw a slight decline to 6.88 percent for a 30-year fixed-rate mortgage. However, a considerable portion of buyers—32 percent—were unaffected by these changes, opting for all-cash transactions in January, according to NAR data.

NAR Chief Economist Lawrence Yun emphasized the strength of the job market and the country’s overall wealth, driven by gains in the stock market and home prices. While these conditions are conducive to homebuying, consumer sensitivity to mortgage rate shifts is impacting sales, indicating the delicate balance within the current housing cycle.