This past week our listings saw an average of 2 showings each. That figure is surprisingly low, but its quality not quantity that counts right now. Fortunately, with the expiration of the tax credit coming next week, many buyers that are out looking are ready to sign.
Our monthly E-newsletter was sent out this week and inside I reported the real estate statistics for Mecklenburg County in March. The results were, frankly, hard to believe! Here’s a quick summary.
Homes sales were up 39% from a year ago and 68% from the previous month!
The average sales price is up about 10% from last year.
Time on market has remained relatively stable.
Pending home sales have completely surged. Up 69% from last year and 18% from the previous month.
Supply is up 17% from last year.
Mortgage Rates have remained relatively stable.
The two factors that really jump out of the page are the changes in home sales and pending home sales. To keep our context straight, we have to remember that this time last year was dismal. No one new where the economy was heading and fear was the driving factor in the real estate market. So, it shouldn’t come as any surprise that the market is showing improvement as things get back to normal.
The strong home sales numbers are certainly encouraging. The increased figures from February 2010 to March 2010 are almost surprising. The dramatic change in both home sales and pending sales from one month to the next can only be attributed to one thing: the expiration of the tax credits coming next week. Last week CNBC posted a somewhat comical article that opined that it is almost impossible to compare the market right now to any other market.
In reviewing these stats that seem to indicate a housing boom, how are we to use these numbers to forecast the market trends? My answer: I have no idea! The first time buyer credit is expiring next week and when it does, it will be very interesting to see how the buying activity will change. Because of the large number of closings that will occur in May and June, there are sure to be more to follow in later months as sellers wil need to become buyers. But whether the buying will continue, there just doesn’t seem to be anyway to predict. So, keep your eyes on this blog and I’ll keep reporting the stats so we can all find out what happens together.