Is There a Real Estate Recovery in Progress?
March 20, 2012
A first in more than 18 months, sales prices of existing home increased in February. The median price was $171,881, sales prices in 53 cities nationwide surveyed by a National Housing Report increased 1.1% above February of 2011.
Home sales numbers were higher, increasing 8.7% over just a year ago. With an encouraging sales trend for 8 months in a row over the prior year, itís appearing as if 2012 will turn into a very robust home-selling year. As a consequence of diminished foreclosure activity, inventory continues on a downhill trend for the 20th month in a row and is 22.4% less than the inventory of housing in February of 2011.
Consumer attitudes appear to be improving, while record low mortgage interest rates combined with
auspicious prices on homes are attracting investors and homebuyers not wanting to miss out a historic occasion.
All the statistics are indicating an extremely active spring thru summer selling season for 2012, which is welcome news for a recuperating real estate market. As the number of sales have been trending higher for many months now, we've been anticipating a home price turnaround , and it to be finally
Real estate sales in February 2012 were 8.7% more than sales were in February of 2011. It was the 8th month in a row year-over-year sales have increased. Home sales during February were 8.1% more than January sales. Of 53 metro regions in the housing survey, 45 had increases over February of last year while a remarkable 26 metro regions saw double-digit leaps, including: Albuquerque +46.6%, Providence, +36.7%, Raleigh +33.8%, Boston, +30.5% plus Chicago, +27.5%.
Median Sales Prices
The Median Sales Prices of February home sales was $171,881. This number is a 1.4% higher than January, plus a 1.1% increase over the median price in February 2011. This February was the first time over 18 months that year-thru-year home prices have gone up. Out of these 53 metro regions contained in the February home survey, 24 realized price increases over February 2011 which included Miami +20.5%, Orlando +15.8%, Phoenix +12.5%, Tampa +11.1%, St. Louis +9.8% along with Detroit +8.9%.
Months of Inventory Averages
During February 2012, the average homes on the market inventory in the 53
regions surveyed decreased 0.8% over January of 2012 and also decreased 22.4%
over February of 2011. Month-to month home supplies now have decreased over 20
months in a row. Looking at the present sales rate, and the numbers of the
active homes for sale, leaving a 6.6 months supply, a decrease over the 7.3
months supply available in January, while significantly less than the supply of
9.3 months available in February 2011. The Months Supply equals the months
required to clean a market of it's active inventory at the present sales rate. A
six-month housing supply is thought of as being a market balanced among buyers
and sellers equally
Days on Market Averages
The average number of Days on the market for properties closed escrow during February was 103, identical to January 2012, and the identical times as in February 2011. There were just two months out of the last 12 that experienced a Days on the market average less than 90 days: July and September which both had 88. Days on the market is the total number of days from first being first listed on an MLS system and the time a sales agreement is accepted.
California Home Prices and Inventory
The statewide median sales price of existing, detached single-family homes dropped 0.6 percent, down to $266,660 during February under the January $268,280 median sales price. The median price decreased 1.7 percent under the $271,370 median sales price reported in February 2011.
Mar 20, 2012