New Home Prices Worry DFW Builders
DALLAS (Dallas Morning News) – New home prices in the area hit a record high during first quarter 2013, leaving some builders wondering whether buyers will be able to afford their homes.
The rising costs of lots, lumber and labor have pushed new homes to a median price of $244,113 in Dallas-Fort Worth, according to Residential Strategies Inc.
The slim supply of new homes is also putting a strain on potential buyers. Residential Strategies projects there will be less than half the number of home starts this year than there were in 2006. And fewer homes are being built with price tags under $200,000.
“The $300,000 to $500,000 category continues to see what we think is astounding growth,” said Cassie Gibson of Residential Strategies. “The market will need help in the way of rising household income levels.”