Real Estate in 2016: DFW Region Will Continue Its Steady Growth
December 31st, 2015 | by Michelle
The Dallas-Fort Worth region is looking forward to continued, healthy growth in the real estate market in 2016, according to a range of reports by real estate experts nationwide.
“Our growth following the downturn has been slow, steady and sustainable,” said Robbie Briggs, President and CEO of Briggs Freeman Sotheby’s International Realty. “Thanks to the dedication and expertise of our region’s leaders, economic development in all sectors has supported a vibrant real estate market.
Indeed, the Dallas-Fort Worth market has no reason to fear a real estate “bubble” in 2016, according to a recent report by the Wall Street Journal. That’s because prices here “never boomed much and have barely reached new highs.” (Read the full report here.)
The bubble trouble spots are San Francisco, New York City and Denver, where the housing supply is tight, and job and income growth have worked together to send real estate prices skyrocketing.
Overall, mortgage giant Freddie Mac predicts 2016 will be a year of moderate growth. Its five predictions for the new year:
The 30-year fixed-rate mortgage will average below 4.5 percent for 2016 on an annualized basis.
Gradually higher mortgage interest rates will present an affordability challenge, but a strengthening labor market and pent-up demand will carry 2015’s home sales momentum into 2016.
Home price growth will moderate, driven in part by the reduction in homebuyer affordability and reduced demand as a result of Fed tightening.
Housing activity will grow in 2016 despite any of the above constraints. Total housing starts will increase 16 percent year-over-year and total home sales will increase 3 percent.
(Read the full report here.)
President and CEO Robbie Briggs independently owns and operates Briggs Freeman Sotheby’s International Realty with offices in Dallas, Fort Worth, Uptown, Lakewood, Ranch and Land, The Ballpark and Southlake.