The median price of a home sold in Fort Worth in May 2022 was $367,000. In May of 2021, the median price was $295,000. In the past year, between the rising prices of houses and increasing mortgage rates, prospective buyers in the greater Fort Worth area have been feeling the pinch, and many have been driven from the market.
In the realm of good news, the inventory continues to climb, slowly but steadily. In May, there were 1.1 months of available inventory in Fort Worth. The Texas Real Estate Research 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. Industry experts hope these small increases in inventory paired with rising mortgage rates will help cool down the price increases seen over the past two years.
“Something we have seen in the last few weeks is the number of price reductions increasing in our market,” said Shannon Ashkinos, 2022 President of the Greater Fort Worth Association of REALTORS®. “Sellers may start scaling back their expectations for what they’re hoping to get for their house. We’ll continue to watch closely to see if prices have hit their summer plateau.”
Existing home sales and new home sales are falling nationwide, in addition to pending home sales. Meanwhile, the median national home price climbed to an all-time high in May, reaching $447,000, realtor.com® reports. Active inventory rose 8 percent annually-the first time that benchmark has been reached in nearly three years. In Johnson and Parker Counties, inventory rose to 1.7 and 1.8 months respectively, leading to large year-over-year increases in closed sales in May.
“Among key factors fueling the inventory comeback are new sellers, who are listing homes at a rate not seen since 2019,” says Danielle Hale, realtor.com®’s chief economist. “While this real estate refresh is welcome news in a still-undersupplied market, it has yet to make a dent in home price growth, partially due to increases in newly listed, larger homes and because the typical seller outlook is quite high, likely shaped by recent experiences of homeowners who sold.”
The typical home in Tarrant County spent an average of 18 days on the market in May, so demand appears to be holding steady, but that could change if rapid inflation and high gas prices persist.