The Dallas County real estate market has undergone significant changes in the past year, reflecting both broader national trends and local market dynamics. As we head into the close of 2024, it’s an ideal time to look back on how conditions have shifted since the same period last year. By comparing November 2023 to November 2024, we gain a clearer understanding of how home sales, inventory levels, median prices, interest rates, unemployment, and inflation have evolved. This perspective helps buyers, sellers, and investors better navigate current conditions and make well-informed decisions.

The overarching theme is one of measured optimism. While rising mortgage interest rates earlier in the year introduced affordability challenges, the market has since found a more sustainable balance. Buyers now enjoy a wider selection of homes and more room to negotiate, while still benefiting from Dallas County’s underlying economic strength. Let’s dive into the details, using year-over-year comparisons to highlight meaningful trends and opportunities.

Home Sales Trends in Dallas County

Year-Over-Year Comparison (November 2023 vs. November 2024):

In November 2023, Dallas County recorded approximately 1,117 home sales. Fast-forward to November 2024, and that figure rose to about 1,218 homes sold—an increase of roughly 9%. This uptick is significant given the economic headwinds the housing market faced earlier in the year, including higher mortgage rates and a more cautious buyer sentiment.

This year-over-year improvement suggests that demand remains resilient. Buyers who initially stepped back amid rising borrowing costs and uncertainty have returned, adapting to the new interest rate environment. Although the days of ultra-low interest rates are behind us, many would-be homeowners are recognizing that current conditions still offer long-term value.

Seasonal and Notable Month Highlights:

While year-over-year growth in November sales is encouraging, other months also provide useful benchmarks. The peak spring and summer months—such as May and June 2024—traditionally saw higher volumes, reflecting typical seasonal patterns. Yet, what’s truly important is that despite seasonal slowdowns, the November-to-November increase signals enduring buyer confidence.

Implications for Buyers:

This growth in sales volume year-over-year indicates that Dallas County remains a sought-after market. More homes changing hands suggests that well-prepared buyers can find options that fit their budgets and preferences. The pace is calmer than the bidding wars of previous years, giving you the time to conduct due diligence and potentially negotiate better terms.

Available Inventory: More Choices, More Balance

Year-Over-Year Comparison (November 2023 vs. November 2024):

Inventory is a critical factor in any real estate market, influencing both prices and competition. In November 2023, Dallas County had roughly 3,857 homes on the market. By November 2024, that number had surged to about 5,207 homes—a substantial increase that underscores the market’s trend toward more balanced conditions.

This jump in inventory means buyers now have a broader selection of properties to consider, ranging from starter homes to luxury listings. The increased number of homes for sale also translates into less pressure to submit offers immediately or well above asking price.

Beyond November: A General Trend of Rising Inventory:

Throughout the latter half of 2024, available listings have steadily climbed. For instance, months like July and August 2024 saw inventory levels surpass 5,000 homes, creating a more buyer-friendly landscape than the tight, seller-driven conditions of the past few years.

Buyer Takeaways:

• Greater Negotiating Power: With more homes on the market, you can be more selective. This often means gaining leverage in negotiations, requesting inspections, and potentially securing seller concessions.
• Better Alignment with Personal Preferences: A larger inventory allows you to find a home that truly matches your needs—whether that’s proximity to top-rated schools, a short commute to downtown Dallas, or specific architectural styles.

Median Sales Price: A Slight Dip, But Long-Term Stability Remains

Year-Over-Year Comparison (November 2023 vs. November 2024):

In November 2023, the median home sales price in Dallas County stood at around $371,000. By November 2024, it had adjusted slightly to approximately $367,110. This modest year-over-year decrease, on the order of about 1%, suggests a market easing off the rapid price escalations that defined the early 2020s.

At first glance, a slight price dip might raise concerns, but a closer look reveals that this moderation can actually benefit the overall health of the market. After years of substantial gains, a plateau or small decrease can improve affordability and reduce the risk of price instability.

Highlighting Another Month for Context:

In October 2024, the median sales price hovered around $370,000, nearly flat from month to month. This consistent level indicates that pricing is leveling out rather than undergoing dramatic corrections. Buyers can approach the market with more predictability, reducing the fear of missing out or overpaying.

What This Means for Buyers:

• Improved Affordability: Even a small drop in median price can ease the financial burden on first-time buyers.
• Informed Decision-Making: With prices stabilizing, you can research neighborhoods, compare homes, and negotiate with greater confidence.

Interest Rates: Easing from Their Highs, Supporting Renewed Buyer Confidence

Year-Over-Year Comparison (November 2023 vs. November 2024):

Interest rates underwent a rollercoaster ride in 2023 and 2024. In November 2023, the average 30-year fixed-rate mortgage stood around 7.22%, a figure that tested many buyers’ budgets. By November 2024, rates had improved to about 6.81%, offering a slight yet meaningful reduction in borrowing costs.

This year-over-year decrease, while not monumental, still translates to lower monthly payments and improved affordability for those entering the market. Even a fraction of a percentage point can make a noticeable difference in what buyers can comfortably spend.

Recent Updates and Future Outlook:

As of early December 2024, the average 30-year mortgage rate dipped slightly further to approximately 6.69%. Economic analysts anticipate that mortgage rates will hover around the mid-6% range through 2025, a figure higher than the ultra-low rates seen in 2021 but still manageable by historical standards.

Buyer Strategies:

• Shop Around for the Best Rate: Different lenders may offer varying terms, so comparing quotes can lead to meaningful savings.
• Lock in Favorable Terms: If you find a rate that fits your budget, consider locking it in, especially if market volatility is a concern.

Unemployment Rates: Slight Rise, But Still Relatively Low

Year-Over-Year Comparison (November 2023 vs. November 2024):

In November 2023, the Dallas County unemployment rate was around 3.7%. By November 2024, it had risen slightly to approximately 4.2%. While this year-over-year increase may raise eyebrows, it’s important to maintain perspective. A 4.2% unemployment rate remains relatively low historically and indicates that the local economy is still on solid footing.

Context for Buyers and Homeowners:

• Stable Job Market: A low to moderate unemployment rate supports household incomes and consumer confidence, both of which are crucial for a healthy housing market.
• Sustained Demand: Even as unemployment edges upward, Dallas County’s diverse economy—spanning technology, healthcare, finance, and logistics—continues to draw new residents and support steady housing demand.

Conclusion on Employment:

The slight year-over-year increase in unemployment is worth monitoring, but it’s not cause for alarm. The Dallas County labor market remains resilient, providing a stable foundation for housing demand as we move forward.

Inflation: Lower Than Last Year, Supporting Affordability

Year-Over-Year Context (October 2023 vs. October 2024):

While we don’t have November 2024 inflation data at the time of this writing, examining the latest available figures still provides insight into year-over-year trends. In October 2023, inflation hovered around 3.2%. By October 2024, it had eased to about 2.6%. This downward trend suggests that the Federal Reserve’s measures to combat inflation have been effective, gradually restoring purchasing power to consumers.

Relevance to the Real Estate Market:

• Improved Affordability of Everyday Life: Lower inflation helps keep living costs in check, potentially freeing up more room in the household budget for mortgage payments.
• Stable Rate Environment: Moderating inflation reduces the likelihood of aggressive interest rate hikes, contributing to a calmer housing finance environment.

As inflation normalizes, buyers can plan their long-term finances with greater confidence. The interplay of stable prices for goods and services, combined with tempering home prices and moderating mortgage rates, creates a more predictable environment for making large financial commitments.

Putting It All Together: A Market Finding Its Equilibrium

The year-over-year comparisons between November 2023 and November 2024 paint a portrait of a Dallas County housing market navigating toward balance:

• Sales Volume: Up about 9% year-over-year, indicating buyers’ ongoing interest despite challenges.
• Inventory Levels: Significantly higher, offering more choice and alleviating the intense competition of prior years.
• Median Sales Price: Slightly down year-over-year, a sign of improved affordability and a move toward more sustainable price growth.
• Interest Rates: Lower than a year ago, enhancing affordability and giving buyers hope amid a shifting economic landscape.
• Unemployment: A moderate rise from historically low levels, but still indicative of a strong local economy supporting housing demand.
• Inflation: Down compared to last year, boosting consumer confidence and supporting stable long-term planning.

While some may lament the end of rock-bottom rates and frenetic bidding wars, the current environment arguably offers a healthier, more transparent marketplace. Buyers have the breathing room to conduct thorough inspections, request concessions, and negotiate favorable terms. In turn, sellers who price their homes realistically and invest in presentation can still find motivated buyers, thanks to Dallas County’s enduring desirability.

Practical Tips for Buyers Navigating Today’s Dallas County Real Estate Market

1. Get Pre-Approved for a Mortgage: With interest rates still in the 6-7% range, understanding your precise borrowing capacity is crucial. Pre-approval not only clarifies your budget but also strengthens your negotiating position.
2. Leverage Increased Inventory: Higher inventory numbers mean more options. Take the time to explore different neighborhoods, property types, and price points. This flexibility helps ensure you find a home that aligns with your long-term goals.
3. Focus on Value Over Hype: With prices stabilizing, it’s less about rushing to outbid other buyers and more about finding a home that meets your needs. Consider factors like school districts, commute times, property taxes, and potential for future appreciation.
4. Consult Local Experts: An experienced Dallas County real estate agent can offer valuable insights into emerging trends, up-and-coming areas, and which properties represent the best value. Professional guidance can help you navigate negotiations and contract details, ensuring a smooth transaction.
5. Plan for the Long Term: Real estate is a long-term investment. Instead of fixating on short-term interest rate fluctuations, consider the overall trajectory of the Dallas County market—still resilient, still growing, and still a hub for economic opportunity.

Looking Ahead to 2025 and Beyond

As we move into 2025, many analysts predict that mortgage rates will remain relatively stable, hovering around the mid-6% range. This predictable environment gives buyers and sellers alike the confidence to plan ahead. With inflation trending downward and unemployment still at manageable levels, Dallas County’s economy continues to support a healthy housing market.

While no one has a crystal ball, the data suggests that Dallas County real estate is transitioning from a period of extraordinary volatility to one of measured, sustainable growth. Prices may not surge at double-digit rates as they once did, but steady, moderate appreciation is often a hallmark of a stable and resilient market. Such conditions favor informed buyers who understand the value of patience, research, and strategic decision-making.

Final Thoughts: Embracing Opportunity in a Calmer Market

The year-over-year comparisons between November 2023 and November 2024 reflect a Dallas County real estate market in the process of normalization. The excitement and urgency of the pandemic-era market boom have given way to a more balanced environment—one where inventory is plentiful, prices are settling into more reasonable territory, and interest rates, while not at record lows, are at least trending in a slightly friendlier direction.

For buyers, these shifts should be seen as opportunities rather than obstacles. The current landscape encourages thorough exploration, careful negotiations, and prudent financial planning. It’s a market where knowledge is power and where making informed choices can yield long-term rewards.

Dallas County remains a vibrant place to live, work, and invest. Its economic diversity, cultural amenities, and steady population growth continue to draw people from all walks of life. By approaching the market with patience, diligence, and a focus on fundamentals, today’s buyers can position themselves advantageously for the years to come.

In essence, comparing November 2023 to November 2024 reveals a maturing market—one that’s shedding the extremes and moving toward equilibrium. That’s good news for those who value stability, choice, and the ability to invest in a home that suits their lifestyle and financial goals. The Dallas County housing market’s trajectory suggests a future filled with possibility, provided you enter it with the right information and the right mindset.

Note: Data sourced from CoreLogic, Freddie Mac, and U.S. Bureau of Labor Statistics. These sources reserve the right to modify or update the numbers mentioned in this report at their discretion. Data as of 12/9/2024.