Residential real estate market shows no signs of slowing
Housing inventory in the region is at a record low at 2.2 months, but there was still a 9% increase in closed sales in January compared to the same month in 2020.
“As long as interest rates continue to remain low and inventory scarce, there will most likely be multiple buyers for appropriately priced homes. Realtors will to continue navigate sellers through multiple offers with, ultimately, one contract being made while disappointing several others,” said Jeffrey Decatur of Re/max Capital and the 2021 president of the Greater Capital Association of Realtors (GCAR).
GCAR collects data on residential sales, primarily in Albany, Rensselaer, Saratoga and Schenectady counties.
A drop in the market inventory is both typical and expected in January; 2021’s number of homes for sale fell by 26 percent to 959. There were 2,690 units for sale in January.
Prices are reflecting the market. The median sales price increased 12 percent over January 2020 to $230,000. The median for new construction was $383,925 in January. Sellers received an average of 97 percent of the original list price at closing.
GCAR CEO Laura Burns recommended preparing for a competitive spring.
“Shadow or no shadow, spring is right around the corner so the timing is right for sellers to list and the new construction season to start revving up which will provide some relief to the pressure on inventory,” Burns said.
—Leigh Hornbeck