Report: Real estate market remains fast-paced
CAPITAL REGION, N.Y. » The residential real estate market throughout the Capital Region remains fast-paced and challenging to buyers, according to the latest data from the Greater Capital Association of Realtors, which reported the area’s median sales price hitting a new high while properties’ time on the market reaching a new low.
The median sales price for a single-family home was $279,000 last month in May of 2022, an 11% increase from the previous May and a 19% increase over May 2020.
On average, homes spent just 30 days on the market, down by 11 days from the same time last year and down 34 days from May 2020.
The percentage of original list price received at sale rose to 102.4 percent, indicating that buyers are still willing to pay top-dollar for homes as inventory remains slim.
In May there was just a 1.5-month supply of homes for sale, a 32% decrease from May 2021.
New listings decreased 8.2% when compared to May 2021, to 1,641 for the month.
However, more new listings entered the market in May than any other month since August of last year.
The total number of homes for sale was down 42.5% percent to 1,655 units from May 2021, an improvement from the prior month’s 51.5% decline.
“Any increase in inventory is positive news especially during the summer months,” Greater Capital Association of Realtors president Kendal Baker said in the release. “For a variety of reasons, new construction is still lagging behind on the current demand for homes.”
Pending sales decreased 13% from May 2021 to 1,299 for the month and closed sales were
down by 15% from May 2021 to 902 for the month.
Still, buyers, sellers and realtors had a busy May with more than 28,000 showings conducted. New construction’s median sale price rose by 37% over May 2021 to $502,806.
“The reduction in some of last month’s numbers is the result more of the continued lack of inventory rather than the increase in the historically low interest rates,” Greater Capital Association of Realtors CEO Laura Burns said in the release. “While the Fed’s recent rate increases may edge out some potential first-time home buyers and others on a tight budget, at this time, lack of inventory is still pushing sale prices to exceed list prices.”
While there is still some uncertainty about how and when the real estate market will adjust, the report said, for the summer months sellers in the Capital Region remain in a good position and rates remain affordable.