Home Prices Continue Rising, Sales Steady
RE/MAX National Housing Report on 52 Metro Areas
DENVER, Nov. 18, 2013
DENVER, Nov. 18, 2013 /PRNewswire/ --Following historic seasonal trends,
October home sales edged 2.8% lower than September, but still pushed 2.2%
higher than sales in October 2012. Median home prices were 11.9% above prices
seen last October. October becomes the 21^st month to experience
year-over-year increases in both sales and prices. The Median Price of all
homes sold in October was $179,950. Inventories of homes for sale were 12.2%
lower than the levels in October last year. For the last 29 months in a row,
inventories have declined at a slower rate. The October inventory drop is half
of the annual loss seen as recently as June. At the current rate of sales, the
number of months required to sell the entire inventory of homes on the market
was 4.9. A 6-month supply is recognized as a balanced market with an equal
number of buyers and sellers.
"What we're seeing now are predictable seasonal cycles, which is just another
sign that the housing recovery is bringing us back to a more normal market,"
said Margaret Kelly, RE/MAX CEO."Home sales are expected to slow down during
the holidays and winter months before returning to the next growth cycle in
Transactions – Year-Over-Year Change
The October RE/MAX National Housing Report found a 2.8% monthly decrease in
sales, but also found a 2.2% increase from sales in October last year. October
becomes the 28^th consecutive month reporting higher sales than the same month
in the previous year. For the most part, normal seasonal trends are
responsible for slowing month-to-month changes in home sales. Of the 52 metro
areas surveyed in October, 35 reported higher sales than in October 2012, with
19 reporting double-digit gains, including: New York, NY +32.6%, Trenton, NJ
+32.5%, Anchorage, AK +24.2%, Philadelphia, PA +18.2%, Wilmington, DE +18.1%,
and Manchester, NH +17.1%.
Median Sales Price
In October, the Median Price of all homes sold was $179,950. This price is a
2.7% drop from the Median Price in September, but an 11.9% increase from the
price seen in October last year. For 21 consecutive months the Median Price of
a home has been greater than in the same month of the previous year. Home
price increases can be tied directly to a low inventory and strong buyer
demand. Of the 52 metro areas surveyed in October, 45 experienced higher sales
prices than one year ago. Of those, 19 metro areas reported double-digit
increases, including: Detroit, MI +45.2%, Atlanta, GA +37.1%, Las Vegas, NV
+31.8%, Orlando, FL +26.5%, San Francisco, CA +23.8% and Phoenix, AZ +23.3%.
Days on Market – Average of 52 Metro Areas
In the month of October, the average number of Days on Market for all homes
sold in the 52 surveyed markets was 66. This is one day higher than the
average seen in September, but is 16 days lower than the average seen in
October 2012. October marks the 17^th consecutive month with an average Days
on Market below 90. A low Days on Market average, like 66 seen in October, is
the direct result of continued high demand and a reduced inventory of homes
for sale. Days on Market is the number of days between when a home is first
listed in an MLS and when a sales contract is signed.
Months Supply of Inventory – Average of 52 Metro Areas
The housing market has been plagued by a low inventory environment, but for 7
consecutive months, inventory has declined at a slower rate than during the
same month of the previous year. While not yet adding inventory, the situation
is improving. In October, there were 5.1% fewer homes for sale than in
September, and 12.2% fewer than in October 2012. At the rate of home sales in
October, the Months Supply of inventory was 4.9. Extremely low Months Supply
remains in some key markets such as: San Francisco, CA 1.4, Denver, CO 2.3,
Los Angeles, CA 2.4, Orlando, FL 2.7, Honolulu, HI 2.8, and San Diego, CA
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The RE/MAX National Housing Report is distributed each month on or about the
15^th. The first Report was distributed in August 2008.The Report is based on
MLS data in approximately 52 metropolitan areas, includes all residential
property types, and is not annualized.For maximum representation, many of the
largest metro areas in the country are represented, and an attempt is made to
include at least one metro from each state. Metro area definitions include the
specific counties established by the U.S. Government's Office of Management
and Budget, with some exceptions.
Transactions are the total number of closed residential transactions during
the given month. Month's Supply of Inventory is the total number of
residential properties listed for sale at the end of the month (current
inventory) divided by the number of sales contracts signed (pended) during the
month. Where "pended" data is unavailable, this calculation is made using
closed transactions. Days on Market is the number of days that pass from the
time a property is listed until the property goes under contract for all
residential properties sold during the month.Median Sales Price is the median
price of all residential properties sold during the month.
MLS data is provided by contracted data aggregators, RE/MAX brokerages and
regional offices. While MLS data is believed to be accurate, it cannot be
guaranteed. MLS data is constantly being updated, making any analysis a
snapshot at a particular time. Every month the RE/MAX National Housing Report
re-calculates the previous period's data to ensure accuracy over time. All
raw data remains the intellectual property of each local MLS organization.
SOURCE RE/MAX, LLC
Contact: For specific data in this report or to request an interview, please
contact (303) 796-3405 or email@example.com
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