Housing Supply Overview
According to a recent study by Fannie Mae, 24 percent of Americans feel that now is a good time to buy a house. That number was 54 percent five years ago. Feelings change rapidly when incomes do not match well with home prices and frustration sets in. For the 12-month period spanning
October 2017 through September 2018, Pending Sales in the Western Upstate region were down 0.2 percent overall. The price range with the largest gain in sales was the $150,001 to $200,000 range, where they increased 11.7 percent.
The overall Median Sales Price was up 5.8 percent to $172,500. The property type with the largest price gain was the Condos segment, where prices increased 6.9 percent to $127,000. The price range that tended to sell the quickest was the $150,001 to $200,000 range at 81 days; the price range that tended to sell the slowest was the $300,001 and Above range at 129 days.
Market-wide, inventory levels were up 6.7 percent. The property type that gained the most inventory was the Condos segment, where it increased 37.6 percent. That amounts to 5.0 months supply for Single-Family homes and 5.3 months supply for Condos.
Some economy observers are pointing to 2018 as the final period in a long string of sentences touting several happy years of buyer demand and sales excitement for the housing industry. Although residential real estate should continue along a mostly positive line for the rest of the year, rising prices and interest rates coupled with salary stagnation and a generational trend toward home purchase delay or even disinterest could create an environment of declining sales.
New Listings were up 15.4 percent to 631. Pending Sales decreased 40.1 percent to 243. Inventory grew 6.7 percent to 2,184 units.
Prices moved higher as Median Sales Price was up 7.6 percent to $174,900. Days on Market increased 63.3 percent to 98 days. Months Supply of Inventory was up 8.5 percent to 5.1 months, indicating that supply increased relative to demand.
Tracking reputable news sources for housing market predictions makes good sense, as does observing trends based on meaningful statistics. By the numbers, we continue to see pockets of unprecedented price heights combined with low days on market and an economic backdrop conducive to consistent demand. We were reminded by Hurricane Florence of how quickly a situation can change. Rather than dwelling on predictions of a somber future, it is worth the effort to manage the fundamentals that will lead to an ongoing display of healthy balance.
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