October Housing Report 2023

October witnessed ongoing declines in Fort Worth’s housing market, with the median price, active listings, and closed sales all experiencing year-over-year decreases. The median price of a home in Fort Worth was $330,000.

The sole uptick in Fort Worth was in inventory, which saw a slow but consistent increase, reaching 2.6 months in both Fort Worth and Tarrant County. According to the Texas Real Estate Research Center at Texas A&M University, a balanced market would have 6.5 months of inventory, indicating a need for more homes to meet demand.

In the realm of mortgages, this week marked a notable change, as the rate for 30-year fixed-rate mortgages, previously hovering around 8 percent, dropped a quarter of a percent to 7.5 percent, according to Freddie Mac. The significance of this shift remains uncertain, but the persisting challenge for homebuyers is affordability.

Bart Calahan, the 2023 President of the Greater Fort Worth Association of REALTORS®, noted a current reduction in competition as individuals await further drops in interest rates. He advised seizing the present market conditions, emphasizing the importance of a REALTOR® for navigating fluctuating rates and limited inventory.

Despite a year-over-year decrease in active listings in Fort Worth, Tarrant, Johnson, and Parker Counties experienced an increase as inventory expanded across the board. The median home price in Tarrant County hit $340,000, the lowest since March.

While mortgage rate adjustments have influenced the market, the days on the market have held steady at around 38 days. This stability provides a window for homebuyers to potentially avoid multiple offer situations and negotiate favorable home prices. Refinancing is presented as an option for those who can capitalize on these opportunities rather than waiting for further drops in mortgage rates.

Addressing the broader economic context, National Association of REALTORS® Chief Economist Lawrence Yun urged the Federal Reserve to contemplate interest rate cuts, with Congress also considering incentives to bolster housing supply. The goal is to ensure that more Americans can participate in wealth accumulation, preventing the housing market from becoming exclusive to cash buyers or the wealthy.

October 2023 Fort Worth Statistics At-A-Glance:

• 786 homes sold in October 2023, a 4.6 percent decrease from October 2022.
• $330,000 median price in October 2023, 2.9 percent less than October 2022.
• 2.6 monthly housing inventory in October 2023, 0.3 months more than October 2022.
• 38 average number of days homes spent on the market in October 2023, 2 days more than October 2022.
• 31 average number of days to close in October 2023.