According to the National Association of Realtors® (NAR) sales of existing-homes continued their recent pattern and sit higher for a second month in a row -- even amidst continuing inventory shortages and quickening price increases. Nationally, the Midwest saw a noticeable sales bump while the Northeast saw modest gains; these were offset by small declines in the South and West.
Total existing-home sales (transactions for single-family homes, townhomes, condominiums and co-ops) grew 1.7 percent to a seasonally adjusted annual rate of 5.45 million in April from an upwardly revised 5.36 million in March. Sales are now up 6.0 percent over April 2015.
NAR's chief economist, Lawrence Yun, indicated that April's sales growth points to slowly building momentum for the housing market this spring. "Primarily driven by a convincing jump in the Midwest, where home prices are most affordable, sales activity overall was at a healthy pace last month as very low mortgage rates and modest seasonal inventory gains encouraged more households to search for and close on a home," he said. Yun added that, "Except for in the West — where supply shortages and stark price growth are hampering buyers the most — sales are meaningfully higher than a year ago in much of the country."
Let's take a look at some key national data points.
Median Prices |April's median existing-home price for all housing types was $232,500, a 6.3 percent rise over April 2015 ($218,700). April's price gain represents the 50th month in a row of year-over-year gains.
Inventory |Total housing inventory at the end of April grew 9.2 percent to 2.14 million existing homes available for sale, however this is 3.6 percent below a year ago (2.22 million). Unsold inventory now sits at a 4.7-month supply given the current sales velocity, up from 4.4 months in March.
Mortgage Rates |According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage dropped from 3.69 percent in March to 3.61 percent in April, the lowest since May 2013 (3.54 percent). The average commitment for 2015 was 3.85 percent.
First Time Buyers |Nationally, first-time buyers represented 32 percent of transactions in April, up from 30 percent both in March and a year ago. First-time buyers in all of 2015 drove an average of 30 percent of transactions.
Summer Selling Opportunities
Sellers, you have an excellent opportunity to sell your home this season if you have the right pricing strategy in place from the start! Studies show thatthe longer a property stays on the market, the less the seller will net upon the sale. It is very important to price your property at a competitive market value at the signing of your listing contract. The market today in many places is so competitive that even over-pricing by a few thousand dollars could mean that your house will not sell.
An Overpriced Home: · Minimizes offers · Lowers agents response · Limits qualified buyers · Lowers showings · Lowers prospects · Limits financing · Wastes advertising dollars · Nets less for the seller
When you are ready, contact us today for a personal market value analysis of your home. No hassles or obligation - just honest advice on how to get top dollar for your home!
Save Thousands in Interest
Many people ask about bi-weekly payment plans designed to reduce the interest paid out over the course of your loan. These programs help the borrower budget an extra payment a year, and over time this can knock years off the repayment schedule.
You might be surprised to learn that you can do this yourself without any special programs, simply by submitting an extra principal payment as you are able. By submitting an extra payment, you get the advantages of an early payout, without the extra contractual obligation. Now is a great time to assess your financing options.
Contact us today for our list of preferred local lenders!
Author:Kim Guest Phone: 864-918-0066 Dated: June 6th 2016 Views: 380 About Kim: ...
With approximately 50 years combined experience, Guest Group brings a wealth of varied experience in both Residential and Commercial Real Estate.
We are loyal, ethical and very dedicated to our clients. We give exceptional service and continue to have our clients for life. We compliment each other and understand the Real Estate Industry and the Local Market.
We have strong negotiating skills and transaction servicing that will ensure you of a successful real estate experience.