Dallas/ Real Estate & Development
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Published on June 17, 2024
Fort Worth Confronts 26% of Single-Family Homes Under Commercial Ownership Amid Housing Affordability ConcernsSource: Scott Anderson, CC BY 2.0, via Wikimedia Commons

Fort Worth is grappling with a property profile that depicts 26% of its single-family homes under commercial control. This figure was shared in a report unveiled by City Manager David Cooke during a city council rendezvous earlier this month. The data from FWLab and the Tarrant Appraisal District (TAD) indicates that out of 247,485 single-family homes, 64,372 are categorized as commercial properties, according to a report by The Texan.

FWLab's analysis method used to identify potentially commercial-owned homes has gathered varying reactions, with concerns emerging about housing affordability. Their approach is to consider properties without homestead exemptions and those with owner addresses mismatching the property address as commercial. Fort Worth Mayor Mattie Parker, as per The Dallas Express, acknowledged the urgency of housing affordability but also noted that properties classified as commercial could simply be “an LLC that's owned by one individual that lives here,” indicating local ties to these properties.

However, some are wary that this extensive commercial ownership could limit the availability of homes to Fort Worth residents. The rise of housing prices and increased interest from out-of-city buyers only serve to steepen the challenge for locals seeking to purchase homes in their communities.

An often-cited concern in the community is the narrative about large hedge funds purchasing segments of neighborhoods. Mayor Parker, in a statement to The Texan, acknowledged that "large hedge funds purchasing large swaths of neighborhoods" is a phenomenon that can be observed in Fort Worth, although she doesn't believe it's a widespread issue.

Continued scrutiny over the housing mix in Fort Worth is expected, as the city council as well as the public seek to unpack and better understand the impacts of this commercial ownership on the local housing market and affordability.

Dallas-Real Estate & Development