Since January, the median home price in Tyler’s MLS has increased from $159,000 to $184,500. At this rate, Tyler’s median home price will top $200,000 by year’s end. Adding to our “hot market” rise, we now have a 500-year storm (Hurricane Harvey) flooding major manufacturing areas along the Texas and Louisiana coasts and simultaneously creating heavy demand for new construction in the affected areas. The effect on building costs could be considerable and will be felt both in our area and nationwide. The builders already under contract are likely to be looking at thinner margins, and for some the repercussions could be disastrous.
How this will effect existing prices is hard to gauge, but if replacement costs skyrocket, we’ll see homeowners’ insurance increases and further escalation of home prices in our area. On the bright side, the next few months could be a boon for sellers looking to maximize equity. If you’re one of those, give us a call…we can help!