Thursday, December 19, 2013
- by J. Brian Miles
November was largely another encouraging month for residential real estate. Our attention has shifted from multiyear high prices and sales volumes to seller activity, inventory levels and building permits. And let's not forget the calendar effect. As families gather together, fewer house hunters are scheduling showings and writing offers. Watch for month-to-month activity to moderate while year-over-year comparisons remain strong.
Closed Sales were down slightly by 3.6 percent from last November’s number, closing at 537 Residential Units sold. However, year to date, Home Sales have risen 8.1 percent to 6,675 homes sold for 2013. New Listings in the Chattanooga region decreased 14.9 percent to 697.
Inventory levels shrank 3.1 percent to 4,909 units. Prices were a tad soft. The Median Sales Price decreased 6.4 percent to $134,750. Days on Market were down 1.5 percent to 128 days. Absorption rates improved as Months Supply of Inventory was down 5.6 percent to 8.5 months.
GCAR President Mark Blazek said, “Recent economic and jobs data have surprised to the upside by exceeding expectations. This likely keeps the new Federal Reserve leadership on track for March 2014 tapering. Non-farm payrolls grew by 204,000 jobs in October, outperforming Wall Street expectations.” Mr. Blazek concluded, “In another bullish sign, August payrolls were revised upward to a 238,000-job gain – positive momentum that should support housing recovery. Just in time for the holidays.”
Source: 10k Research and Marketing