Fort Worth housing inventory hits a record, but it’s not all great news for buyers

The Greater Fort Worth Association of Realtors says housing inventory is up, way up.

According to the latest report, inventory hit 3.2 months in May. That’s the first time it climbed above the three-month mark in more than a decade.

Inventory is the number of months it would take for the existing housing stock to sell at the current sales rate.

The Greater Fort Worth Association of Realtors (GFAR) said over the last several years, housing inventory “had dipped to less than one month.”

GFAR also said active listings were up more than 50% between May 2024 and May 2023.

Elizabeth McCoy, an associated broker with Williams Trew Real Estate, said there was a lock-in effect during COVID that’s now loosening.

“A lot of people that you talked to got a really great interest rate during the pandemic when they refinanced or maybe when they bought a house,” McCoy said.

McCoy said circumstances are changing, leading people to list their homes.

“Maybe families have been in their smaller homes through COVID but they’ve had more children, they just need more space,” she explained.

For Tony and Susan Fertita, they wanted to go smaller.

“We decided that after COVID we were going to start looking at downsizing and moving closer to the kids and the grandkids,” Susan said.

They decided now was the right time.

“We had kept an eye on the market quite a bit as I think most people have, where the values have gone up significantly, so we just felt like this was the right time, based on what we were hearing,” Susan said.

They were right– McCoy said that’s one catch for buyers: while home prices aren’t skyrocketing like they were during the pandemic, they’re still climbing.

“Now, our prices are still increasing at normalized levels, but they’re just very high for buyers that are especially sensitive to interest rates. So, higher interest rates coupled with increasing prices gives us some areas that are not very affordable,” McCoy explained.

So, while buyers may have more housing options to choose from, they won’t necessarily find more affordable options.

In its report, GFAR said the median home price in Fort Worth in May was $335,907, only a 1.2% decrease from May of last year.

You also may still face some competition, McCoy said, though not as much as the pandemic-era.

“When there are homes that are priced right, they’re in really great move-in condition, we are starting to see multiple offers come back on those properties,” McCoy said.

But she said sellers who over-price their homes aren’t getting as many showings because buyers are pickier.

“If you take a property that’s priced at let’s say $450,000 that’s move-in ready, versus a $450,000 house that needs some updating… Because interest rates are so high, they’re going to go for the one they don’t have to put a lot of money in,” McCoy explained.

She also said that homes in the outer areas of the Metroplex aren’t selling as quickly.

The Fertitas’ home sold in less than a week. They credit their realtor, Terri Silva.

McCoy said that’s important for buyers, too; having a good realtor who will prevent you from paying too much.

“Somebody that’s going to be able to say, ‘This house is appropriately priced. These are some strategies of getting an offer in,’ especially if it’s an offer where they’re competing,” she said.

With interest rates expected to go down next year, McCoy said competition will increase.

“It’s really going to get competitive for buyers. So, if anyone is on the fence, I suggest they start looking,” she said.