Markets across the nation seem to be back on the recovery track after a brief
pause. One of the more encouraging aspects of this renewed recovery is that
new construction of single-family homes reached six-year highs in August,
according to the U.S. Commerce Department. Consumers are also finding more
listings in their search results than they have in years. Inventory is rising in many
neighborhoods as higher prices have motivated more sellers to list.
New Listings decreased 12.1 percent to 182. Pending Sales were up 12.5
percent to 90. Inventory levels shrank 7.1 percent to 443 units.
Prices were a tad soft. The Median Sales Price decreased 9.3 percent to
$156,000. Days on Market was down 5.5 percent to 172 days. Sellers were
encouraged as Months Supply of Inventory was down 20.6 percent to 16.2
The departure of investors from the scene should benefit first-time homebuyers,
but student debt and sluggish wage growth have slowed that transition. The
economy is growing, but it’s growing at a slower pace than desired. Thankfully,
inflation remains tame, partly enabling the Federal Reserve to keep rates low for
longer, contrary to the forecasts of most economists.
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