Confidence in the real estate market is clearly returning, as evidenced in the recently released National Association of Realtors Market Outlook. In summary, the index for single family homes rose to 56 from 32 a year ago, indicating a shift in expectations from “below moderate” to “above
moderate.” Realtors generally reported brisker sales, rising home prices, and shorter days on market. Concerns are inventory levels, appraisal issues, the modest pace of economic recovery and job growth, and regulations on mortgage lending (e.g., the Qualified Mortgage rules).
Here are some of the national highlights for December:
moderate.” Realtors generally reported brisker sales, rising home prices, and shorter days on market. Concerns are inventory levels, appraisal issues, the modest pace of economic recovery and job growth, and regulations on mortgage lending (e.g., the Qualified Mortgage rules). Here are some of the national highlights for December:
- 79% of realtors reported constant or higher prices on recent transactions than one year ago
- In the face of tight inventory and multi bidding on well positioned listings, some properties were selling above asking price
- 87% of realtors expect constant or higher residential prices
- 31% of houses sold in one month
- Median days on market at 73 days
- Distressed sales accounted for 24% of sales
- Foreclosed property sold on the average at a 17% discount
- Short sale properties sold at a 16% average discount
- 29% of residential sales in December were cash
- Investors and International buyers were the highest percentage of cash buyers.
- 43% of distressed sales are cash sales
- 30% of residential sales are first time buyers
- 21% of residential sales are investors
- 12% of residential purchases are Second home buyers
- 13% of residential sales were relocation/retirement/job related.