Fewer homes for sale in region

Number dropped 19 percent from a year ago, report says

The limited inventory of homes for sale remains an ongoing challenge for the housing market in the Capital Region, according to the The Greater Capital Association of Realtors.

Although new listings increased by 8 percent to 1,241 — up from 1,145 in February 2016 — the number of homes for sale in the Capital Region dropped 19 percent to 5,061 in February 2017. That number is down from 6,274 in February 2016.

National Association of Realtors chief economist Lawrence Yun said in a press release that too few properties for sale and weakening affordability conditions stifled buyers in most of the country.

“Realtors are reporting stronger foot traffic from a year ago, but low supply in the affordable price range continues to be the pest that’s pushing up price growth and pressuring the budgets of prospective buyers,” he said. “Newly listed properties are being snatched up quickly so far this year and leaving behind minimal choices for buyers trying to reach the market.”

Homes in the Capital Region are spending an average of 78 days on the market, down from 84 days in February 2016 and 100 days in February 2015.

In Rensselaer County, there were just 56 closed residential sales this February, down by 19 percent from last year. The average sale price also dropped by 7 percent in that time to $171,751. New listings increased slightly to 150.

Across the river in Albany County, February 2017 brought 144 closed residential sales, up 14 percent from last year. The average price was $242,317. There was a six percent increase to 298 new residential listings.

In Saratoga County, where the average sale price was $286,781, there were 158 closed sales and a large increase to 381 new residential listings in February, compared to the previous year.

Throughout the region, sellers are receiving 93.9 percent of their original list price last month – an increase over February 2016 from 92.1 percent.

Greater Capital Association of Realtors President Joel Koval said in the release that it is a challenging market on both sides of the table.

“Sellers are getting a generous number of offers in this market,” Koval said. “The worry for sellers then becomes that there will not be a generous number of homes to choose from when they become buyers.”

Closed sales were up 6 percent from February 2016 to 541 for the month. The median sale price for a single-family home in the Capital Region rose 4 percent to $189,740.

Pending sales across the Capital Region increased 8 percent to 860, signaling the continuation of a healthy market in the first quarter of 2017.

Greater Capital Association of Realtors CEO Laura Burns is encouraged by recent jobs numbers.

“Unemployment has reached pre-recession levels,” Burns said in the release. “This matters because job growth and higher paychecks fuel home purchases, which has a positive economic impact across many industries and retail establishments in our region.”