Outlook & Highlights for Single Family Housing and New Home Building in Texas

Overall economic health is a key driver in determining opportunity for home-building and land development. A stronger economy means more job creation. Higher job creation means more people. And more people means growth in housing demand. These are just a few of the reasons why Megatel Homes specializes in building quality custom homes in ever-expanding home-buying markets throughout Texas, with a primary focus on the Dallas-Fort Worth Metroplex.

Despite lower oil pricing the past few years, the Federal Reserve Bank of Dallas’ Texas Business-Cycle Index reports that, overall, Texas’ economy grew at a faster rate in 2016 (4.5%) than its long-term average (3.9%). This economic growth bears out with Texas continuing to recognize positive employment growth with an annual growth rate in 2016 of 1.8 percent (seasonally adjusted).

Screen Shot 2017-02-06 at 10.18.02 AM

Dallas-Fort Worth specifically posted 3.9% job growth in 2016, due in part to its diverse base of industries including, transportation, medical, education, and services. The area’s growth is expected to continue to expand throughout 2017 and beyond, with companies like JPMorganChase, Liberty Mutual Insurance, Toyota, and more announcing relocations and/or expansions.

Dallas claimed the no. 1 ranking in Forbes’ Best Buy Cities: Where To Invest in Housing In 2017. Dallas has an average home price of $233,000, which is up 3.9% over 2016 and underpriced by 3% compared to the city’s historic average.

Local Market Monitor forecasts housing prices will increase in DFW by 31% by 2020 due in part to 2016’s 3.9% job growth and the 6.2% growth in population over the past three years.