DENVER, April 14, 2017 /PRNewswire/ -- March launched the
home-buying season with post-recession records for increasing home
sales and prices and decreasing inventory, according to this
month's RE/MAX National Housing Report that surveys 53 metro
areas.
Last month, home sales were 6.6% higher than the nine-year-old
report's previous March record, set in 2016. Thirty-eight of the 53
metro areas in the report showed year-over-year increases.
Meanwhile, Months Supply of Inventory dropped below three months
for the first time in the history of the report, indicating a
market that greatly favors sellers, as six months is considered a
balanced market.
Active inventory continued to decline, dropping 17%
year-over-year. As a result, the Median Sales Price of $225,000—also a March record—was up 11%
year-over-year. This was the 12th consecutive month of
year-over-year price increases.
Homes continued selling faster last month, with the average Days
on Market dropping to 64, compared to 68 in February 2017 and 71 in March 2016. For this month's housing report
infographic, visit http://rem.ax/2cYFT50.
"We expect a seasonal uptick in sales this time of year and
March certainly met and somewhat exceeded that
expectation," said Dave Liniger, RE/MAX CEO, Chairman of the Board and
Co-Founder. "We don't anticipate the tightening
inventory to ease up in most markets until new home construction
can catch up to its pre-recession pace. Until then, sellers will
enjoy a fast-paced market and buyers will need to work with their
agents to get in the right home."
Closed Transactions
Of the 53 metro areas surveyed in
March 2017, the overall average
number of home sales increased 6.6% compared to March 2016. Of the 53 metro areas, 38 experienced
an increase in sales year-over-year, with 16 experiencing
double-digit increases. The markets with the largest increase
in sales included Richmond, VA
+23.3%, Wilmington/Dover, DE +22.6%, Trenton, NJ +19.7%, Las Vegas, NV +15.3% and Chicago, IL +14.8%.
Median Sales Price – Median of 53 metro median
prices
In March 2017, the
median of all 53 metro Median Sales Prices was $225,000, up 7.1% from February 2017 and up 11.0% from March 2016. Only four metro areas saw
year-over-year decreases, with 15 rising by double-digit
percentages. The largest double-digit increases were seen in
Manchester, NH +15.9%,
Orlando, FL +13.7%, Charlotte, NC +13.3%, Trenton, NJ +12.8% and Nashville, TN +12.8%.
Days on Market – Average of 53 metro areas
The average
Days on Market for homes sold in March
2017 was 64, down four days from the average in February 2017, and down seven days from the
March 2016 average. The three metro
areas with the lowest Days on Market were San Francisco, CA and Omaha, NE both at 27 and Denver, CO at 32. The highest Days on Market
averages were in Augusta, ME at
159 and Burlington, VT at 118.
Days on Market is the number of days between when a home is first
listed in an MLS and a sales contract is signed.
Months Supply of Inventory – Average of 53 metro
areas
The number of homes for sale in March 2017 was up 1.2% from February 2017, but down 17.0% from March 2016. Based on the rate of home sales in
March, the Months Supply of Inventory was 2.7, compared to
February 2017 at 3.6 and March 2016 at 3.2. This is the first time in the
history of the RE/MAX National Housing Report that months supply
has hit below 3.0. A 6.0-month supply indicates a market balanced
equally between buyers and sellers. In March
2017, 52 of the 53 metro areas surveyed reported a months
supply of less than 6.0, which is typically considered a seller's
market. At 6.3, Burlington, VT was
the only metro area to see a months supply above 6.0, which is
typically considered a buyer's market. The markets with the lowest
Months Supply of Inventory continued to be in the west, with
Seattle, WA at 0.9, San Francisco, CA and Denver, CO both at 1.0.
Contact
For specific data in this report or to request
an interview, please contact newsroom@remax.com.
About the RE/MAX Network:
RE/MAX was founded in 1973
by Dave and Gail Liniger, with an
innovative, entrepreneurial culture affording its agents and
franchisees the flexibility to operate their businesses with great
independence. Over 110,000 agents provide RE/MAX a global reach of
more than 100 countries and territories. Nobody sells more real
estate than RE/MAX, when measured by residential transaction sides.
RE/MAX, LLC, one of the world's leading franchisors of real estate
brokerage services, is a wholly-owned subsidiary of RMCO, LLC,
which is controlled and managed by RE/MAX Holdings, Inc.
(NYSE:RMAX). With a passion for the communities in which its agents
live and work, RE/MAX is proud to have raised more than
$150 million for Children's Miracle
Network Hospitals® and other charities. For more
information about RE/MAX, to search home listings or find an agent
in your community, please visit www.remax.com. For the latest
news about RE/MAX, please visit www.remax.com/newsroom.
Description
The RE/MAX National Housing Report is
distributed each month on or about the 15th. The first
Report was distributed in August 2008. The Report is based on
MLS data in approximately 53 metropolitan areas, includes all
residential property types, and is not annualized. For maximum
representation, many of the largest metro areas in the country are
represented, and an attempt is made to include at least one metro
from each state. Metro area definitions include the specific
counties established by the U.S. Government's Office of Management
and Budget, with some exceptions.
Definitions
Transactions are the total number of
closed residential transactions during the given month. Months
Supply of Inventory is the total number of residential properties
listed for sale at the end of the month (current inventory) divided
by the number of sales contracts signed (pended) during the
month. Where "pended" data is unavailable, this calculation is
made using closed transactions. Days on Market is the number of
days that pass from the time a property is listed until the
property goes under contract for all residential properties sold
during the month. Median Sales Price is the median of the
median sales prices in each of the metro areas included in the
survey.
MLS data is provided by contracted data aggregators, RE/MAX
brokerages and regional offices. While MLS data is believed to be
accurate, it cannot be guaranteed. MLS data is constantly
being updated, making any analysis a snapshot at a particular time.
Every month the RE/MAX National Housing Report re-calculates the
previous period's data to ensure accuracy over time. All raw data
remains the intellectual property of each local MLS
organization.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/strong-march-home-sales-low-inventory-means-tougher-market-for-buyers-300439872.html
SOURCE RE/MAX, LLC