By Mike Flynn - Albany Realty Company - 229-883-6100
The GAR is reporting some good news about housing inventory. We are not out of the storm yet, but the clouds are beginning to break!
FROM THE GEORGIA ASSOCIATION OF REALTORS:
Monthly Indicators: Pending Sales Up, Inventory Down
29 Jun 2011 -
Homeownership is about painting a room fluorescent fuchsia without asking anyone's permission. The recent market challenges have forced some homeowners to become begrudging renters or unintentional landlords. For the nation as a whole, the National Association of REALTORS® reports that the homeownership rate has shifted from 69.0 percent in 2005 to 66.5 percent so far in 2011. While that's not a tectonic shift, let's see what other indicators reveal since that first fateful month after the 2010 tax credit.
New Listings in the state of Georgia decreased 4.5 percent to 13,638. Pending Sales were up 63.4 percent to 8,581. Inventory levels shrank 12.3 percent to 66,893 units, but there are still plenty of great choices out there.
Prices couldn't match year-ago levels. The Median Sales Price declined 15.7 percent to $107,000. Days on Market increased 4.9 percent to 93 days. Consumers were absorbing homes more quickly as Months Supply of Inventory was down 0.5 percent to 11.1 months. Affordability also improved.
Nationally, the interest rate dropped to 4.88 percent on a 30-year fixed conventional while the unemployment rate snuck up to 9.1 percent in May. The economy added 54,000 jobs, which was far less than April and insufficient to curb unemployment. As recovery goes, so goes positive trends. Some metrics should continue to show favorable movement, but stronger job growth is needed to fuel housing demand and reinforce consumer confidence.