Fort Worth VS Dallas Appreciation Rates: A 10-Year Analysis Of DFW’s East-West Divide

Don’t you think popular metroplexes like New York or Los Angeles are oversaturated right now? It’s very difficult for new investors to get into these “severely unaffordable” markets and make a good deal. Currently, metroplexes like Dallas-Fort Worth, located in North Texas, are in hype. The reason behind DFW’s growing popularity could be that there’s a thriving job market here with almost every amenity you expect from a metroplex, except that the housing market is easy to penetrate.

To be honest, it’s unfair to talk about the DFW without mentioning the east-west divide. While seasoned players are very well aware of these differences. It might be a bit overwhelming for new investors to have a solid plan without a basic understanding of this divide. 

But hey! Why are we here, then? Stay with us as we unravel the differences between DFW’s east and west sides, along with a 10-year home appreciation rate analysis. So, are you in?

East VS West- What’s It All About?

On the east side, we have the heart of North Texas, Dallas. And, on the west, we have a slightly underrated Fort Worth with full growth potential. Let’s see the key drivers behind their difference. Shall we?

Sub-Urban VS Urban Lifestyle

Dallas is more similar to other big metroplexes in terms of lifestyle. Thanks to multiple tech companies headquartered here, the city is filled with aspiring young professionals. Some notable corporations settled here are AT&T, Southwest Airlines, and Toyota, etc. 

Even though we are comparing the last 10 years of appreciation rates, it’s safe to say, Dallas was already an established city, seeing an influx of new immigrants almost every year.

Fort Worth, on the other hand, is known for a picturesque suburban life. Think about large porches, hobby gardens, numerous trails, parks, etc. 

What It Means For Investors

Both cities have a great tenant base. Young corporate professionals naturally prefer Dallas. While families with kids, retirees who want a more rooted lifestyle are choosing Fort Worth instead.

Getting Around: The Transportation Scene

Dallas benefits from a well-developed transportation network consisting of buses, light rail, trains, etc. Such a multi-modal public transit system ensures quick movement around the city. 

But For Worth residents mostly rely on cars to get around. Even though FW does have a few bus services, people here seem more comfortable travelling on their own.

What It Means For Investors

The DART (Dallas Area Rapid Transit) system is a big contributor to the exorbitant housing prices in Dallas. People prefer having multiple options to move around the city.

Strict VS Flexible Construction Regulations

Another key divide between the East and West is their zoning laws. Fort Worth’s local authority is quite flexible in its construction guidelines, as the city is aiming to grow in size. You can even expand your home with ADUs or Accessory Dwelling Units, lot size based on your preference. 

But the case is totally different from Dallas. As it’s already a high-profile city with a majority of the properties being “luxury,” the city authority is highly sensitive about its aesthetics. From building height to parking ratio, everything is heavily checked. 

What It Means For Investors

Tight regulations mean you will have less freedom to plan or design an affordable house. That’s why, majority of Dallas properties are marketed as luxury properties.

Fort Worth Market Analysis Of Last 10 Years- Based On Appreciation Rates

Year	Median Sale Price	Year-By-Year Appreciation Rate
2015	$180,000	–
2016	$200,000	11%
2017	$220,000	10%
2018	$240,000	9%
2019	$260,000	8.3%
2020	$280,000	7.7%
2021	$361,270	29%
2022	$285,950	-20%
2023	$325,495	14%
2024	$330,000	1.3%
2025	$334,900	1.4%

From 2015 to 2025, we can see a massive increase in median home sale price, with an appreciation rate of around 83%. The year-by-year rate, however, was not very smooth. Let’s go through what caused a boom and then a balance in FW’s housing market.

Economic Boom In The Early 2020s

The economic boom in Fort Worth during the early 2020s is the reason the home sale price was so high during that period. Open job market, opportunities in manufacturing and logistics, land availability, lower tax rate, everything turned FW into a hotspot for relocation. 

Interest Rate Fluctuation

FW started 2015 with an average interest rate (on mortgage) of 3.15%. By 2021, due to the COVID-19 effect, the interest rate reached an all-time low with only 2.96%. Result? Massive flash sales. But after 2022, the interest rates went up to almost 6.8% to 7.1%, and they’re still in that range. The higher rates are one big reason the market plateaued. 

Dallas 10-Year Market Analysis Based On Appreciation Rates

According to Zillow, here’s what the Dallas,TX market looked like for the past 10 years.

Year	Median Sale Price (approx)	Year-By-Year Appreciation Rate
2015	$180,000	–
2016	$200,000	11%
2017	$220,000	10%
2018	$240,000	9%
2019	$260,000	8.3%
2020	$280,000	7.7%
2021	$300,000	7.1%
2022	$320,000	6.6%
2023	$340,000	6.2%
2024	$360,000	5.8%
2025	$395,000	9.7%

It’s evident from the table that the year-by-year appreciation rate is growing in a slow but steady manner. Unlike the Fort Worth market, there’s less fluctuation. Also, in the last 10 years, the sale price has seen a whopping 119% jump. That’s commendable.

Here’s why Dallas can guarantee a steady return on your investment:

Home To Major Tech Giants

Dallas is and will be in high demand as youngsters are always seeking to settle in this economic hub. The majority of renters of buyers here are working to increase their career graph. That’s the reason, despite not being very “affordable,” the prices never crashed.

Huge Gap In The Housing Market

According to a recent report, there’s approximately a gap of 180,000 affordable houses for low-income families. The high demand from potential migrants and such a big hole in the market have led the median sale price to keep increasing.

So, Where Should Your Money Go?

Don’t be fooled by the comparatively “affordable” median sale prices in Dallas. When calculating median prices, many suburban areas with cheap prices affect the overall number. That doesn’t truly reflect the sale prices of “posh” Dallas neighborhoods like Highland Park, where current median sale prices are $4.8 million.

Did you know 43rd US President George W Bush has a property worth $3 million in none other than Preston Hollow, Dallas?

Fort Worth, despite seeing a setback, is still considered profitable. Even though prices are not rising at an exponential rate like they did in 2021, the market is now more balanced and stable. Homes that are being listed for sale, leaving the market faster compared to the previous year. Plus, due to easier regulation and land availability, the city is more beginner-friendly as well.

Outro

All we can say is that Fort Worth is quiet, peaceful, and is the total opposite of a busy metroplex. That’s why people who want to work remotely and build a family are choosing the quality of life at Fort Worth over the noisy New York or LA.

But, of course, Dallas has more history for attracting high-profile clients and selling properties at an unimaginable price. It’s definitely difficult for new investors to break into the highly competitive Dallas market. But if you have a way, then Dallas can give your portfolio the boost you are lacking right now.