The monthly housing report from Zillow, which covers February, shows a national market drastically changed from two years ago, with the number of homes for sale down by half, prices higher by one-third and rising, and rents hundreds of dollars more a month.
In Dallas, the typical home is $361,270, up 39.6% since 2020 and up 2.4% month over month. It’s a little above the national average which is $331,533. Our area’s inventory dipped in February, breaking with past yearly trends, and now stands at 47.3% below February 2020.
Home value appreciation is shooting up; the typical home in Dallas is worth 39.6% more than in 2020. And rent prices are accelerating too — average rents in February hit $1,699, up 21.4% since Feb 2020. The national average rent is $1,883.
Lack of inventory is driving these historic price hikes.
“A wave of millennial and baby boomer buyers have depleted housing inventory that was never really replenished following the Great Recession,” says Zillow economist Nicole Bachaud.
Looking ahead, Zillow economists expect annual home value growth to continue to accelerate through the spring, peaking in May before gradually slowing by February 2023.
Strong demand finds that the houses that do get listed in the Dallas metro area are scooped up in just 16 days.
At a national level, more homes transacted last month than in either February 2019 or February 2020, though sales are lower than in 2021, Zillow reports.
Preston Hollow-area home value index for February for middle-price tier of homes:
75230: $796,262, up 18.5% over the past year.
75220: $443,695, up 19.2% over the past year.
75225: $1,556,265, up 18.5% over the past year.