March 14, 2016

Housing Market Enters March Like a Lion Despite Inventory Concerns

The Greater Lehigh Valley REALTORS® (GLVR) reported that the February data shows the local housing market is doing well despite a dwindling inventory of homes. Closed sales were up 23.8 percent in February from 353 to 437 and new listings grew 9.2 percent from 774 to 845.

For the full Market Update for February 2016, click HERE.

Days on the market dropped 4.8 percent to 80 days. Median sales price increased 2.2 percent from $162,000 to $165,495. Average sales price was also up 3.8 percent to $190,497. And the percentage of list price received was relatively stable, up 0.5 percent to 96.6 percent. Months supply and inventory numbers, however, were noticeably lower than a year ago — down 35.6 percent from 7.3 months to 4.7 months and down 28.1 percent from 4,209 units to 3,027 respectively.
“Shrinking inventory numbers is an issue that’s affecting real estate markets across the country, not just here in the Lehigh Valley,” explains Chris Raad, President of Greater Lehigh Valley REALTORS®. The cure, of course, is more inventory. But new construction has been lagging during this opportune moment, and sellers of existing homes are not yet hitting the market in large numbers.”
“With the heart of the spring selling season still a few months away, there’s a good chance those numbers will adjust and improve,” adds Greater Lehigh Valley REALTORS® CEO Justin Porembo. “Looking at the overall big picture though — all the other key indicators for judging the health of our real estate market show we are strong across the board and progressing quite well.”    
The Carbon County data shows days on the market decreased 3 percent to 128 days, and new listings increasing 26.5 percent. Median sales price dropped 11.8 percent to $79,250, with percentage of list price received at 90.1 percent.