Tarrant Business

No reason state's housing recovery won't continue says Dallas Fed

Strong regional economic growth helped the Texas housing market rebound faster than other areas of the country, and there’s no reason it won’t continue, the Federal Reserve Bank of Dallas said in a report Thursday.

 Job growth, particularly in the energy sector, and the overall expansion of Texas’ economy has boosted home sales that are now reaching pre-housing-boom levels. As a result, home prices and apartment rents have risen faster than usual, the report said.

 Through April, the state’s home sales rose at an annualized 23 percent, a rate of increase seen just before the housing collapse, the report said.

 “Further improvement is anticipated in the housing sector,” the report said. “Anecdotal reports from Dallas Fed industry contacts suggest a very competitive marketplace for buyers, with multiple offers on homes driving up prices.”

 Exiting-home sales have risen statewide and in the major metro areas by 33 percent since the start of the housing recovery in 2011, the report said.

 And through the first quarter, Texas home prices exceeded by 7 percent the prerecession peak recorded in the fourth quarter of 2007, said report authors D’Ann Petersen, a business economist, and Christina Daly, research analyst, with the Dallas Fed.

 Home prices nationally are 13.8 percent below their peak six years ago, the report said.

 “Texas prices have especially improved since single-family demand began turning the corner in late 2011,” the report said. “Prices rose 6.2 percent in the 12 months ended March 31.”

Single-family home sales in Texas in the first quarter reached 53,937 homes, a 17.5 percent increase from the same quarter of 2012, the  Texas Association of Realtors reported in May.

_ Sandra Baker

Fort Worth-Arlington home prices rise nearly 11 percent in March

Fort Worth-Arlington home prices rose 10.9 percent in March compared to a year ago, according the latest monthly CoreLogic Home Price Index released Tuesday.

The prices don't include the sale of distressed properties.

When distressed sales are included, home prices rose 5.8 percent compared to March 2012.

On a month-over-month basis, excluding distressed sales, local home prices increased 3.2 percent in March compared to February.

Including distressed sales, month-over-month prices increased 1.7 percent, CoreLogic said.

Nationwide, excluding distressed sales, home prices increased 10.7 percent in March, and including distressed sales, home prices rose 10.5 percent. The change represents the biggest year-over-year increase since March 2006, CoreLogic said.

March was also the 13th consecutive monthly increase in home prices nationally, CoreLogic said.

"For the first time since March 2006, both the overall index and the index that excludes distressed sales are above 10 percent year-over-year," said Mark Fleming, CoreLogic's chief economist in a statement. "The pace of appreciation has been accelerating throughout 2012 and so far in 2013 leading into the home buying season."

Distressed sales include short sales and real estate owned transactions.

CoreLogic said it expects home prices to also rise in April.

_ Sandra Baker

 

Fewer FW-Arlington homeowners falling behind on mortgage loans

The mortgage loan delinquency rate for the Fort Worth-Arlington area fell to 4.5 percent from 5.2 percent in February from a year ago, according to CoreLogic.

The delinquency rate is the percent of loans that are more than 90 days late. The area includes Tarrant, Wise, Parker and Johnson counties.

In Texas, the delinquency rate fell to 3.9 percent from 4.6 percent in Feburary from February 2012, CoreLogic said. Nationwide, the rate fell to 6.1 percent from 7.1 percent.

_ Sandra Baker

North Texas home sales in March continue on a strong note

North Texas existing home sales continued on its strong charge in March, with sales increasing 22 percent from a year ago.

The median price, $168,000, was also 8 percent ahead of March 2012, according to the latest monthly Texas A&M University Real Estate Center numbers.

In all, 7,483 homes were sold in North Texas.

So far this year, sales numbers are also posting ahead of 2012. January through March, 17,397 homes were sold in the 29-county region, up 19 percent from the first three months of 2012. The median sales prices was up 8 percent, to $159,400, the report said.

The inventory of preowned homes is still down and the number of new listings has remained flat, as the number of pending sales in March increased 17 percent, the report shows.

The number of active listings in March, 22,081, was down 22 percent last month. Buyers were under contract to buy 7,466 homes, up 17 percent from March 2012. Houses are selling in an average 65 days, a 24 percent drop from a year ago.

_ Sandra Baker

Village Homes buys eight lots in Fort Worth's exclusive Montserrat neighborhood

Village Homes in Fort Worth has bought eight of the final 14 lots in Montserrat in far southwest Fort Worth.

The firm, owned by Micheal Dike and James Harris, have already built 25 homes in Montserrat. The 30-acre development of the Siratt family began in 2004 with 208 lots.

Village Homes said it will build homes on the new lots ranging in size from 3,000 square feet to 5,000 square feet and from $550,000 to $850,000.

"We are delighted to have reached this agreement because Montserrat is recognized for its unique character, commitment to homes of exceptional character, and and unmatched quality of life," Dike said.

Village Homes said it has completed about 350 homes in the greater Fort Worth area since it was founded in 1996.

_ Sandra Baker

Fort Worth-Arlington mortgage holders underwater remained unchanged in fourth quarter 2012

Slightly more than 8 percent, or 30,961, of homeowners in Fort Worth-Arlington with a mortgage were in negative equity as of the fourth quarter of 2012, which is flat when compared to the third quarter 2012, said CoreLogic.

An additional 5.4 percent, or 20,388 residential properties, were in near negative equity for the fourth quarter of 2012, up slightly from the third quarter.

Negative equity is often referred to as being underwater or upside down and means borrowers owe more on their mortgages than their homes are worth.

Nationwide, about 200,000 more residential properties returned positive equity during the fourth quarter of 2012, bringing the number of properties that moved from negative to positive equity in 2012 to 1.7 million and the number of mortgaged residential properties with equity to 38.1 million, CoreLogic said.

About 10.4 million, or 21.5 percent of all residential properties with a mortgage, were still in negative equity at the end of the fourth quarter of 2012, down from 10.6 million, or 22 percent, at the end of the third quarter of 2012.

"The scourge of negative equity continues to recede across the country," said Anand Nallathambi, CoreLogic’s CEO. "There is certainly more to do but with fewer borrowers underwater, the fundamentals underpinning the housing market will continue to strengthen. The trend toward more homeowners moving back into positive equity territory should continue in 2013."

_ Sandra Baker

North Texas homes sales remain strong, inventory shrinking with few new listings

North Texas existing home sales continued to gain momentum from a year ago, with sales up 14 percent in February, according to the latest report from the Texas A&M Real Estate Center.

The high number of sales may suggest a recovering housing market here, but homes are also selling faster and there’s less inventory to choose from, the report shows.

Last month, 5,325 homes were sold in the 29-county region. The median price was $155,000, an 8 percent increase from a year ago.

Homes are selling, on average, with 74 days of being listed, a 20 percent decrease from February 2012, and 21,911 homes are listed for sale, a 21 percent decrease from a year ago, the report said.

Pending sales increased 15 percent, to 6,172 sales, and the number of new listings remained flat, the report said.

_ Sandra Baker

Fort Worth-Arlington home prices rise nearly 4 percent in January

Fort Worth-Arlington home prices increased by nearly 4 percent in January from a year ago, according to CoreLogic’s Home Price Index released Tuesday.

Nationwide, home prices increased on a year-over-year basis by 9.7 percent, which is the largest increase since April 2006, CoreLogic said.

It is also the 11th straight month of home price increases, the residential property information firm said.

"The HPI showed strong growth during the typically slow winter season," said Mark Fleming, CoreLogic’s chief economist. "With these gains, the housing market is poised to enter the spring selling season on sound footing."

CoreLogic said February home prices are expected to rise by 9.7 percent on a year-over-year basis. Excluding distressed sales, February home prices could rise as much as 11.3 percent year-over-year, CoreLogic said.

In Fort Worth-Arlington, home prices, including distressed sales, increased by 3.6 percent in January 2013 compared to January 2012. On a month-over-month basis, home prices, including distressed sales, decreased by 1.3 percent in January 2013 compared to December 2012, CoreLogic said.

Excluding distressed sales, year-over-year prices increased by 6.4 percent in January 2013 compared to January 2012. On a month-over-month basis, excluding distressed sales, the CoreLogic HPI indicates home prices increased by 1.6 percent in January 2013 compared to December 2012.

_ Sandra Baker

FW area home prices rise 1.1 percent from the third quarter of 2012 and 2011

The latest quarterly Fiserv Case-Shiller Home Price Index finds that average home prices rose 1.1 percent in the Fort Worth metro area between the third quarter 2012 and the third quarter 2011, and prices are expected to rise another 0.9 percent by the third quarter of this year.

Moreover, the index is predicting home prices in Fort Worth to grow 3.6 percent between the third quarter and the third quarter 2014.

Fiserv Case-Shiller quarterly analyzes home prices in more than 380 U.S. metro markets.

Nationwide, home prices are expected to increase 0.6 percent in the 12-month period from the third quarter of 2012 and 2013 and are projected to grow at an annualized rate of 3.3 percent from the third quarter of 2012 to the third quarter of 2017.

"2012 was the first year since 1997 that the housing market has resembled something recognizable as normal," said David Stiff, Fiserv’s chief economist. "Back in 1997, housing prices grew 3 percent, just below the 5 percent long-term average rate of appreciation. From 1998 to 2006, prices appreciated at levels above 5 percent, with double-digit price increases in many of those years. Then, after 2006, the market collapsed as euphoria turned to panic. It took until the end of 2011 before housing markets finally started to stabilize."

At the end of the 2012 third quarter, prices were rising in 62 percent of all U.S. metro areas, compared to 12.5 percent in the same period 2011, Fiserv said.

Average U.S. home prices increased 3.6 percent from the third quarter of 2011 to the comparable period of 2012.

_ Sandra Baker

Area's mortgage delinquency rate remains flat in December

 The number of homeowners in Tarrant, Johnson, Parker and Wise counties falling behind on their mortgages remained flat in December, says CoreLogic research firm.

CoreLogic said 4.6 percent of mortgage holders were at least 90 days delinquent in December, the same as November. But, it decreased from a year ago when 5.3 percent of mortgage holders were at least 90 days late on payments.

In Texas, the number fell to 4 percent, from 4.8 percent a year ago. And nationally, the number fell to 6.4 percent from 7.2 percent a year ago, CoreLogic said.

Also, the area’s foreclosure rate was 1.1 percent in December, down from 1.4 percent in December 2011. The foreclosure rate measures the percentage of loans in some state of the foreclosure process.

_ Sandra Baker