The golden rule of buying a house or searching for a property to invest in is to educate yourself on the market. The time and place you buy could be a game-changer, saving you money and time. In today’s market, research is even more important as some areas are experiencing unprecedented growth while others are collapsing. So buckle up and discover updates on the housing market, how to choose realtors in Texas, and what city attracts nationwide investors.
Texas Market Outlook
The Lone Star State is the second largest by area and one of the most populous places in America. Texas’s real estate scene is always hot. Fortunately for buyers and investors, the housing market is booming this season, and it feels like it was not affected by the global pandemic. The state’s economy, job market, quality of life, and level of educational facilities offer plenty of opportunities for newcomers. The metropolitan areas are thriving, causing high housing demand and buyer competition. Yet, unlike in surrounding states, there is no inventory shortage.
The Hottest Market in Texas: Dallas
Were you looking for a hidden gem in Texas? That’s your cue to reach out to the best realtors in Dallas right away. Here is why Dallas became the hottest housing market of 2022, not only in Texas but overall on the South Central coast.
- Growing Population
Dallas is the fourth most populated city in the whole nation. The suburbs and neighborhoods keep growing to accommodate the newcomers. In fact, in the Fort Worth area, the population level has increased by a record 18% in the last decade.
- Endless Job Opportunities
Dallas is home to top-level education institutions, and the residents reflect this. Upwards of 80% of the residents hold degrees in higher ed. The job market is growing in various industries, with many nationwide and worldwide headquarters in the city. The unemployment rate is only 3% for the metropolitan area.
- High Quality of Life
With affordable and accessible education, a booming job market, and a low cost of living, the quality of life in Dallas is only getting better. The city welcomes many entrepreneurs and international businesses. Additionally, Dallas has a thriving and vibrant culture with a southern charm.
What is the real estate market situation in Dallas?
The realtor’s associations claimed Dallas to be in the top 10 markets in the US. It had a fast recovery time after the pandemic. The property in Dallas is also quite affordable, with an average single-family house price of around $430,000. With a stable income, most buyers have no trouble getting pre-approved for a mortgage. The Dallas metro area expands by 112 neighborhoods giving plenty of housing options on any budget.
Top attractive housing markets in Texas
While Dallas is an up-and-coming real estate hot spot, the rest of the state has plenty to offer. Here are some insights into the housing market in other Texas cities.
- Houston is still recovering from the global pandemic. As the rent in Houston keeps growing, more people are looking to buy property. As the buyer’s demand for new or pre-loved single-family houses increases, so does the prices. Overall, the 2022 real estate market is stable, with brand-new construction coming up next season to provide more options for homebuyers.
- Austin experienced the highest price increase in all of Texas, caused by an inventory shortage. Austin is an excellent market for investing in future rentals as the housing demand is only growing.
- San Antonio has a solid and affordable housing market among the largest cities in Texas. The average price for the house is $300,000. And the demand for housing is growing alongside the population. San Antonio has faced inventory shortages in the past years, yet in 2022 the situation has stabilized, promising its market to peak next season.
Get Ready for House Shopping in Texas.
As a property investor, you want to avoid common mistakes when buying a home in Texas. So before you start your house-hunting journey, make sure to prepare for the ride:
First, set the non-negotiables list. Knowing your “must-haves” will help you narrow down your choices. While you can also have a “would-like-to -have” list, it’s good to have ironed out your priorities. Stick strictly to the non-negotiables that fit your lifestyle and cover your basic needs. For example, think through the requirements for:
- Neighborhood (research crime rates, commute to the office or school, educational and recreation facilities in the area, is it a good fit for a family or young professional);
- Type of the property (a condo in the high-rise, single-family house, townhouse);
- Must-haves (number of bedrooms, backyard, parking spot, or what else you need for a comfortable living).
Even if you’re searching for a property for future rental purposes and not personal use, setting requirements will help you find the best-suited place for your dream tenant. If you aim to rent to families, their needs will differ from singles and young professionals.
Figure Out Financing Abilities
Getting pre-approved for a mortgage is the necessary first step one has to take before starting to shop for houses. Having enough saved up for a down payment and a good pre-approval letter makes you stand out in the competitive buyers’ market. Anything that sets you apart from the competition will increase your chances of getting the house of your dreams. For those who are having a difficult time figuring out the financing, Texas offers homeownership assistance programs like the Texas State Affordable Housing Corporation (TSAHC). Otherwise, you can explore your options with national ad state-wide first-time buyer programs through the U.S. Department of Housing and Urban Development.
Find a Qualified Agent
When choosing a realtor, verify their credentials and work experience. Research their closing statistics and see if they have experience working with your budget and preferred neighborhood. That way, you can ensure the real estate agent is qualified to advocate on your behalf during the negotiations and can secure you the best deal possible.
Final Word
Everything is bigger in Texas. And housing investment opportunities are no exception. With stable real estate scenes, Texas is an attractive market for buyers. Whichever city you choose, find the local realtor that can navigate you through the process. The real estate agent is your partner in successfully finding a house. As demand is only growing, don’t waste your time hoping that the 2023 season’s prices will be more attractive. Search for a new home now.
