5 real estate trends to know in Frisco
Frisco’s housing market is booming, but the upward trend is not limited to single family homes. High-rises, urban-living developments and senior living options are also occupying the market. Here are five real estate trends for Frisco.
1. Rising property values spur tax relief efforts from council
Home values in Frisco increased nearly 50 percent in nine years, according to data from Residential Strategies Inc., a Dallas market research company.
Tim Nelson, a Realtor and Frisco City Council member, said as a result of increased home values City Council approved its first-ever residential homestead exemption June 20. The 7.5 percent exemption will save the average homeowner about $143 on a tax bill.
“It’s great when you sell the home, but in the meantime the assessed value is going up and there’s an increased tax burden,” Nelson said. “One of the things we want to do is increase homeownership and encourage our young families to come back to Frisco, and one of the things we can do with a homestead exemption is lower the tax burden.”
2. $5 Billion Mile developments planning Residential High-rises
High-rise residential towers will be the next type of housing coming to Frisco. The Star in Frisco and Frisco Station are including residential towers in their plans.
Frisco City Council amended plans for The Star to include a potential 17-story residential high rise. The building is planned for 160 units at maximum.
Frisco Station developers are planning a 25-story urban-living building at Gaylord and John Hickman parkways. The building will be part of what the developers call The Hub, which will have more than 200,000 square feet of retail, restaurant and entertainment space.
Wade Park, a 175-acre mixed-use development on the southeast corner of the Dallas North Tollway and Lebanon Road, is also anticipated to include a 12-story multifamily high-rise.
3. Apartments are on the rise
Since 2015, the number of multifamily and urban-living units in Frisco has increased by 2,021 units, with 3,737 units under construction and 7,277 units in the pipeline.
“One of the reasons [multifamily] is such a hot topic right now is because so much inventory has come online at the same time, and that’s clearly based on demand,” Nelson said.
4. Housing for seniors doubles
Frisco has 16 existing senior living facilities with three more under construction and three proposed.
Tracy West, executive director for Watermere at Frisco—a senior living community—said the baby boomer generation is coming into retirement age and has created an entire market for senior housing.
“[A lot of residents] are local and have lived [in the area] for years, and they’re now getting to that point where they don’t want to have to take care of a house anymore,” West said.
5. Job growth drives housing
According to the U.S. Bureau of Labor Statistics, among the 12 largest metropolitan areas in the country, the Dallas-Fort Worth area ranked first in the rate of job growth and second in the number of jobs added from May 2016 to May 2017. The Dallas-Plano-Irving Metropolitan Division, which accounts for 71 percent of the area’s workforce, added 90,400 jobs in the past year.
“As we continue to see job growth, we’ll continue to see demand in housing to include our standard single family, multifamily and urban-living,” said Nelson. “As long as there are new jobs coming online that are local [and] as long as [Frisco ISD] continues to deliver quality education, there’s going to be demand.”