July 9, 2015
- Showings are booming - up 10% versus year ago (May 2015 versus May 2014).
- Inventory levels are down 17% with new homes declining 3% and resale homes down 20%. There have now been nine months of consecutive decrease in inventory levels compared to the prior year.
- There were 2% more houses listed in May this year than last.
- Supply is very low, which will increase prices.
- Over 1/3 (35%) of current inventory has dropped their price. Overpricing is becoming more common, with negative consequences to the home seller as days on market increases for their listing.
- Half the market is very hot and the other isn’t. A lot depends on how properties are being priced. Upper price points (over $500,000) still lag in many areas.
- Pending sales – up 14% (May 2015 versus May 2014) which is very positive.
- The current average number of days on market is 51, so it is still decreasing. Currently a home is about as liquid an asset as you’ve ever had.
- Average price is 4% up overall versus year ago, 6% for resale homes. We are about 30 to 60 days behind what’s in the market right now so in the Fall it may be as high as 10% if inventory continues to decrease.