submitted by Lynne Kelleher, Prudential Fox & Roach, Realtors – Newtown Office
First quarter sales results are in and the numbers look promising. Prices seem to be stabilizing, inventory levels are decreasing and sales are increasing, all of which provides a glimmer of good news in what continues to be a sluggish economy.
Nationally, total existing home sales increased 4.7% and inventory levels were 21.8% below the first quarter close of 2011, with median prices remaining stagnant. Pending home sales, a forward-looking indicator based on signed contracts not yet settled, rose 4% in March, well above 2011 levels.
According to Lawrence Yun, chief economist for the National Association of Realtors, 1st Quarter closed sales were the highest 1st quarter closed sales in five years. He expects 2012 to be a “year of recovery” for the housing industry and believes total home sales should rise 7% to 10%.
There’s been a noticeable uptick in activity here in Bucks County, all the more obvious because of how slow the market has been. While 1st quarter results show little increase in home prices, the number of homes for sale has decreased by 13.5%, while the number of units sold has increased by $13.5%.
The average time it takes a home to sell has decreased 5.7% and the month’s supply of inventory, which is the amount of time it would take to sell the current inventory, is down 22%.
What’s it all mean? Times are a-changing folks!
Properties that are in good condition and priced to reflect current market conditions are selling – and selling quickly! It’s not unusual for homes to sell in a matter of days, often with more than one offer.
Because there are still far too many homes languishing on the market that are not priced to reflect the market and their condition.
We’re at the tail end of a “buyers market” and slowly but surely transitioning into a more “normal” market where supply and demand are equalized.
If you’re a potential buyer – whether you’re a first timer or a move-up – it’s time to get off the fence and take advantage of the final days of this golden era.