Fort Worth saw an increase in inventory for the second month in a row in July, finally easing the supply crunch that has been plaguing eager homebuyers for much of 2021.
Inventory increased to 1.3 months, which is an improvement from the 0.9 months earlier this year, but significantly lower than the 2.0 months of July 2020. The Real Estate Center at Texas A&M University cites that 6.5 months of inventory represents a market in which supply and demand for homes is balanced.
The average number of days on market stayed at 19 for July, which indicates that there is still a significant backlog of buyers without enough houses to meet the demand. With mortgage rates staying low, buyers will likely continue to outnumber supply.
“It’s interesting to note that despite seeing less of an imbalance in inventory, we are still seeing days on market stay very, very low,” said Elizabeth McCoy, 2021 President of the Greater Fort Worth Association of REALTORS®. “Though we may see a few more homes coming on the market than previous months, anything that does come on is being sold very quickly.”
The median home price in Fort Worth continued its steady climb, hitting $302,750 in July, a 22.1 percent year-over-year increase. Tarrant, Johnson, and Parker Counties all showed median prices at about 21 percent higher than July of 2020.
“Buyers are still interested and want to own a home, but record-high home prices are causing some to retreat,” said Lawrence Yun, National Association of Realtors® Chief Economist, who expects mortgage rates to start to inch up toward the end of the year. “This rise will soften demand and cool price appreciation.”
That’s good news for those still trying to find a new home. Sixty-six percent of buyers who were actively engaged in searching for a home in the second quarter of 2021 say they’ve spent three months looking without success, according to The Housing Trends Report, a survey from the National Association of Home Builders.