April 13, 2016

Despite another month of falling inventory numbers, home prices remain affordable

The Greater Lehigh Valley REALTORS® (GLVR) reported that the March data shows the number of homes for sale on the market continues to shrink, but despite the decreasing inventory and a strong homebuyer demand, home prices have remained relatively steady.

To view the full Market Update for March 2016, click HERE.

Months supply and inventory numbers both dropped — down 36.0 percent from 7.5 months to 4.8 months, and down 27.5 percent from 4,324 units to 3,136 respectively. Median sales price rose 1.1 percent from $163,155 to $165,000. Average sales price was also up 1.2 percent to $188,571. And the percentage of list price received crept slightly higher as well, up 1.3 percent to 97 percent.
 
Closed sales dipped 4.6 percent in March from 545 to 520, while pending sales jumped 29.3 percent from 634 to 820. New listings grew 3.5 percent from 1,134 to 1,174 and days on the market slipped 4.9 percent to 78.
 
“Obviously, we’d all like to see a larger supply of homes for sale because with greater inventory homebuyers are more likely to quickly find a home that they want to buy,” explains Justin Porembo, CEO of Greater Lehigh Valley REALTORS®.
 
Chris Raad, President of Greater Lehigh Valley REALTORS, adds, “Yes, prices are slowly rising but they are not even close to being so high as to stall the market completely. Today’s homebuyers are just being much more careful which is a good thing. They are not diving into risky mortgages or putting themselves into precarious financial situations — even with mortgage rates being as low as they are. Home prices, as a result, remain reasonable.”
 
The Carbon County data shows new listings increasing 62.1 percent. Median sales price increased 7.2 percent to $88,950, with percentage of list price received also on the rise to 92.9 percent.