March 2016 Market Snapshot
March 31, 2016 at 7:23 PM
Monthly Market Indicators
Negative housing headlines should be read with calm or skepticism, not alarm.
National housing trends, like the steady rise in home prices and decline in
inventory, should certainly be observed with care, but tracking wider economic conditions is also necessary. Buyers want to get into the market, but unlike the rising-price sales environment of ten years ago, people are not diving headlong into risky mortgages or uncomfortable situations. This carefulness should be celebrated, not feared.
New Listings in Harrisburg increased 18.2 percent to 26. Closed Sales were up 23.1 percent to 16. Inventory levels increased 3.9 percent to 53 units.
Prices continued to gain traction. The Median Sales Price increased 7.9 percent to $204,000. Days on Market was down 4.2 percent to 89 days. Sellers were encouraged as Months Supply of Homes for Sale was down 9.4 percent to 3.3 months.
Employment figures are positive, wages are going up and employers are hiring.
Consumers are holding for the right deal, even in the face of extremely low
mortgage rates. As seller and builder confidence increases, we should see more activity in Q2 2016. The second quarter tends to rank as the best time to list a home for sale. But if inventory stays low, it will be difficult to sustain sales increases in year-over-year comparisons. Prices are seemingly not so high as to stall the market completely. Demand is present but an abundance of choice is not, and therein lies the rub.
Housing Supply Overview
We are nearing the heart of the selling season, which tends to stretch out over the second quarter of each year. The first quarter has seen some slow activity in certain metrics, but this has not been unexpected. For the 12-month period spanning April 2015 through March 2016, Closed Sales in Harrisburg were up 3.0 percent overall.
The overall Median Sales Price was up 6.6 percent to $200,500.
- 10K Research & Marketing