Dallas Home Appraisals News and Information

An article posted on the DMN website today reports that, according to the S&P/Case-Shiller home price index, prices in Dallas/Fort Worth were down just 1.6% in July from a year ago.  The decline has clearly slowed since earlier in the year when values were down more than 5% over a 12-month period, and indicates to some experts that prices in North Texas have bottomed out.

Much of the good news in the housing market over the past several months is likely due to the first-time homebuyer tax credit which will expire at the end of next month.  Although there has been some talk of extending the credit there has been no move yet to do so, and it's possible that the credit will be allowed to expire.  If so, and in the absence of any other major changes in factors affecting the market (jobless rate, etc.), it shouldn't take long to gauge just how many buyers were motivated to move at least in part by the credit.

Judging by the current level of mortgage applications, it seems that the credit might have spurred quite a few otherwise reticent buyers.  Reports that rates for 30-year fixed loans fell last week to 4.94%, the first time they've dropped below 5% since last May, were not met with corresponding reports of new loan applications.  In fact, applications for purchase loans were down over 6% from the week before (refi apps were down less than 1%).  Tighter lending standards could be partly responsible for the drop, but it's also possible that borrowers are stepping back now that the deadline is looming and in some cases it might not be possible to close a newly generated loan application before December 1.

At Blue Star Appraisals Inc. we work with several lenders, mortgage brokers and realtors that can help walk you through the loan process.  If you are thinking about buying but want to know if you will be able to close in time to get the credit, or if you need more information about what is involved in applying for a loan, please contact us today for a referral.