Builders’ dilemma: ‘We can’t just have a market where only Californians can afford it’

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After a year of record-breaking construction, North Texas homebuilders are starting 2022 with a backlog of sales and not enough supply. Dallas-Fort Worth...

“At the upper price points, today’s buyers consist of a disproportionate amount of relocation buyers, many of them coming to D-FW with large equities,” he said.

“The continued lack of inventory as well as increased construction costs means the market has experienced further appreciation in new home values,” said Residential Strategies senior researcher Cassie Gibson. “The reasonably affordable markets of both Kaufman County and the U.S. Highway 380 corridor in Denton County once again rank as the most active submarkets in the region,” Gibson said.

“In 2022, we expect continued strong demand but with higher housing prices, higher mortgage rates and adjusting to the reality of our market’s construction capacity we do see starts declining to around 53,000 to 54,000 units, representing a decrease of about 8%,” Gibson said.

 

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