WIDENING GAPS: THE BEHAVIOR OF SUBMARKET HOUSING PRICE INDEXES IN THE DALLAS AREA, 1979-1993

During the course of the most recent business cycle, there were significant submarket differences in the rise and fall of nominal housing prices in Dallas County, Texas. On the upswing, there was a fairly uniform wave of appreciation, although the most affluent sectors appreciated most. The major differences came in the downswing, when prices in the poorest and most segregated neighborhoods declined more rapidly and for a more extended period than average, while prices in the wealthiest sectors declined less and experienced a speedier turnaround, widening the gaps between rich and poor.