Breaking Point

Dallas home values have never been higher than they are right now

Exterior of 881 Berkinshire Dr. in Dallas

Dallas home values have skyrocketed.

Photo courtesy of Briggs Freeman Sotheby's

If you thought 2017 would bring lower home prices, think again, because all evidence points to the contrary. A recent Zillow real estate market report shows that national home values rose 6.5 percent since last November, to a median value of $192,500. This is the fastest pace of appreciation since 2006, near the peak of the housing bubble, when home values were appreciating at about 11 percent annually.

In Dallas the median home value is $200,400, up 12 percent over the past year, putting metro home values at their peak. Put in plain English, this means that even during the housing boom around 2006, home values were never as high as they are now. Adding insult to injury, there are also 13.9 percent fewer homes to choose from than a year ago.

In addition to Dallas, strong growth is also evident in a handful of new markets, including Seattle and Portland, as well as Denver. This is attributed to strong job markets attracting new homebuyers to these cities over the last year.

At their fastest pace, home values across the country were appreciating at about 11 percent year-over-year. When the bubble burst, home values plummeted, falling 7.4 percent year-over-year before beginning a steady recovery in 2012.

“Home value growth continues to be strong, supported by solid buyer demand and still limited for-sale inventory in many markets across the country,” says Zillow’s chief economist Dr. Svenja Gudell. “Conditions today are very different than the ones we saw back in 2006, which was the last time we saw home values rising this fast. Rampant real estate speculation and loose mortgage credit have been replaced by the sound economic fundamentals we are seeing now.”

Portland, Seattle, and Dallas reported the highest year-over-year home value appreciation among the 35 largest U.S. metros. Portland home values rose 14 percent to a median value of $351,800. Seattle tied with Dallas, with home values rising 12 percent since last November.

In Houston, home values rose around 7 percent, with the median price of homes at $176,000.

reports

Real Estate News

Dallas real estate developer pleads guilty to bribing 2 city officials

YouTube

Dallas developer Sherman Roberts

Dallas real estate developer Sherman Roberts pleaded guilty on November 12 to conspiracy to commit bribery, according to a release from the U.S. Attorney for the Northern District of Texas Leigha Simonton.

Roberts, 70, who previously helmed City Wide Community Development Corporation, was indicted in December 2020. According to court documents, Sherman bribed two city council members — Mayor Pro Tem Dwaine Caraway and City Council member Carolyn Davis — to support loans and low-income housing tax credits for his apartment projects.

In return for several thousand dollars in cash – plus the promise of future payments after her city council tenure ended – Davis lobbied for Roberts' real estate projects, including Serenity Place, Runyon Springs, and Patriot’s Crossing.

She promoted Serenity Place to the City Housing Committee, demanded other developers also seeking real estate funding withdraw their applications in order to increase Roberts' chances of success, recommended Serenity Place receive a 9 percent low income housing tax credit, and voted to approve a $1.9 million loan from the city of Dallas.

“Right now you and me are making money,” Roberts texted Davis shortly after the vote.

Later, she repeatedly reached out to ask for more money — "just a few dollars" — and he agreed.

Davis and Roberts then met with Caraway to address a problem with the Patriot's Crossing project. In return for several hundred dollars cash and a $2,000 monthly stipend, Caraway agreed to stop the city from issuing a request for proposal (RFP) for the Patriots Crossing project and to deliver the project for Roberts.

“How much is the project worth?” Mayor Pro Tem Caraway asked. “Once you’re successful with this project, don’t forget about me.”

“I won’t forget about you,” Mr. Roberts responded. “That’s where the money is… the money has never been an issue.”

Roberts now faces up to five years in federal prison. He is slated to be sentenced on March 12, 2025.

Caraway pleaded guilty in 2019 to conspiracy to commit honest services fraud and tax evasion and was sentenced to more than four years in federal prison.

Davis pleaded guilty in 2019 to conspiracy to commit bribery concerning an agent of a local government receiving federal benefits, but passed away in a car crash before she could be sentenced.

Roberts was one of three real estate developers charged in connection with the bribery scandal. Devin Hall, the developer behind the Grand Park Place apartment project, pleaded guilty in August 2020. Ruel Hamilton, the AmeriSouth Realty Group executive who backed the Royal Crest housing project, is awaiting retrial on conspiracy and bribery charges.

The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation with the assistance of IRS – Criminal Investigation’s Dallas Field Office. Assistant U.S. Attorney Marcus Busch is prosecuting the case with the help of Assistant U.S. Attorney Donna Max.