Most local markets continue to recover from a soft patch earlier this year. The macro trend is still positive; the micro trend involves more moderate pinching up and down the month-to-month timeline. This is not uncommon in a balanced market, but it’s been so long since we’ve seen one that we’re watching it with perhaps too much trepidation. Metrics to watch include inventory and prices, but also days on market, months’ supply and percent of list price received at sale. Declines in pending and closed sales activity may reflect strong decreases at lower price points and may not indicate softening demand.
New Listings were down 28.3 percent for single family homes and 36.7 percent for Condo/TIC/Coop properties. Pending Sales decreased 14.4 percent for single family homes and 14.2 percent for Condo/TIC/Coop properties.
The Median Sales Price was up 4.4 percent to $975,000 for single family homes and 14.8 percent to $930,000 for Condo/TIC/Coop properties. Months Supply of Inventory decreased 19.0 percent for single family units and 27.3 percent for Condo/TIC/Coop units.
Sustained job growth, lower mortgage rates and a slow rise in the number of homes for sale appear to have unleashed at least some pent-up demand. Since housing demand relies heavily on an economy churning out good jobs, it’s encouraging to see second quarter GDP growth revised upwards to a 4.2 percent annualized rate and stronger-than-expected job growth in recent months. Further improvements are still needed by way of wage growth and consumer confidence but recovery continues.
|August 2014||Median Price||Days on Market|
|Single-Family Homes||$975,000||28 Days|
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