January 2017 Market Reports
January brings out a rejuvenated crop of buyers with a renewed enthusiasm in a new calendar year. Sales totals may still inevitably start slow in the first half of the year due to ongoing inventory concerns. Continued declines in the number of homes available for sale may push out potential buyers who simply cannot compete for homes selling at higher price points in a low number of days, especially if mortgage rates continue to increase.
New Listings were down 18.6 percent for single-family homes and 28.0 percent for townhouse-condo properties. Pending Sales increased 11.2 percent for single-family homes and 12.6 percent for townhouse-condo properties.
The Median Sales Price was up 9.2 percent to $216,750 for single-family homes and 0.9 percent to $218,500 for townhouse-condo properties. Months Supply of Inventory decreased 25.4 percent for single-family units and 5.9 percent for townhouse-condo units.
In case you missed it, we have a new U.S. president. In his first hour in office, the .25 percentage point rate cut on mortgage insurance premiums for loans backed by the Federal Housing Administration (FHA) was removed, setting the table for what should be an interesting presidential term for real estate policy. FHA loans tend to be a favorable option for those with limited financial resources. On a brighter note, wages are on the uptick for many Americans, while unemployment rates have remained stable and relatively unchanged for several months. The system is ripe for more home purchasing if there are more homes available to sell.
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