Oe/max National Housing oeport shows strong finish for O01O
2012 was the long hopedfor turnaround year for the housing market. The Re/Max National Housing Report shows a broad recovery across the country, with both home sales and prices rising almost every month of the year.
For December, the number of home sales was up 3.8 percent and the median price rose 7.6 percent. Throughout the year, a favorable combination of record low interest rates, affordable prices and a shrinking inventory created opportunities many consumers could not resist.
The inventory of homes for sale fell each month, ending the year at a level 29.1 percent below the inventory of December 2011. A reduced inventory helped home prices rLVH, EuW DOVR PDGH LW GLIfiFuOW IRr PDny EuyHrV WR finG WKH home of their dreams. The New vear should see the same trends continue.
“:H FDn finDOOy VDy WKDW WKH worst of the housing crisis is now behind us, as 2012 saw dramatic increases in both sales and prices, with home buyers and sellers coming back to the market in numbers we’ve been anticipating for years,” said Margaret helly, CEO of Re/Max LLC. “The market started 2012 with a great surge, and we’re hoping that 2013 will be even stronger. We’re not completely out of the woods, but we’re well on the way to a solid and sustainable recovery.” Transactions–Year-Over-Year
December home sales followed a traditional holiday pattern, dropping lower than the November rate, this year by 4.9 percent. However, sales were markedly better than December 2011 by 3.8 percent. It was the 18th month in a row with sales higher than the same month in the previous year. Of the 52 metro areas surveyed in the December Re/ Max National Housing Report, 34 reported higher sales than December 2011. Sixteen reported double digit gains over last December including: Raleigh-Durham, N.C. +31.3 percent, Albuquerque, N.M. +29.6 percent, Providence, R.I. +24.5 percent, Chicago, Ill. +21.1 percent, Hartford, Conn. +19.9 percent and Charlotte, N.C. +16.7 percent. Median Sales Price The December Median Price for all homes sold in the survey’s 52 metro areas was $166,250 — 1.8 percent higher than the Median Price in November, and 7.6 percent higher than the price in December 2011. December was the 11th consecutive month with higher prices than the same time last year. December prices bucked the holiday trend and rose both on a monthly and annual basis. Of all 52 metro areas in the December survey, a strong showing of 48 experienced year-over-year price increases. Of those, 21 saw double digit increases including: San Francisco, Calif. +34.6 percent, Detroit, Mich. +32.8 percent, Phoenix, Ariz. +31.4 percent, Boise, Idaho +29.1 percent, Miami, Fla. +27.4 percent and Las segas, Nev. +26.2 percent. Days on Market – Average
of 53 Metro Areas The average Days on Market for homes sold in the month of December was 84, just two days more than average of 82 in November, but a substantial 12 days lower than the 98 days average in December 2011. The average Days on Market for the 12 months of 2012 was 89. December represents the seventh time in the past 12 months that a Days on Market average was below 90. The lower Days on Market average is a direct result of a greatly reduced inventory. Days on Market is the number of days EHWwHHn wKHn D KRPH LV firVW listed in an MLS and when a sales contract is signed. Months Supply of fnventory – Average of 54 Metro Areas
The total number of homes for sale in December dropped 11.8 percent from November and 29.1 percent from the number on the market in December 2011. Monthto-month inventories have now fallen for 30 consecutive months. Although rising prices may be the result of a shrinking inventory, a low LnYHnWRry DOVR FDuVHV GLIfiFuOties for many potential buyers. Given the December rate of home sales, the average Months Supply was 5.7, nearly identical to the 5.6 supply Ln 1RYHPEHr, EuW VLgnLfiFDnWly lower than the 7.8 month supply in December last year. sery low Months Supply lev- els continue to be seen in cities like: San Francisco, Calif. 1.1, Los Angeles, Calif. 1.8, Denver, Colo. 3.0, Orlando, Fla. 3.0, San Diego, Calif. 3.0, Seattle, Wash. 3.1, Las segas, Nev. 3.1, Minneapolis, Minn. 3.4, and Detroit, Mich. 3.5. Description The Re/Max National Housing Report is distributed each month on or about the 15th. The report is based on MLS data in approximately 52 metropolitan areas, includes all residential property types, and is not annualized. For maximum representation, many of the largest metro areas in the country are represented, and an attempt is made to include at least one metro from each state. Metro area GHfinLWLRnV LnFOuGH WKH VSHFLfiF FRunWLHV HVWDEOLVKHG Ey WKH 8.6. GRYHrnPHnW’V 2IfiFH of Management and Budget, with some exceptions.