For immediate release March 24, 2017
For additional information contact:
Laura Burns/Executive Officer
Greater Capital Association of REALTORS® Ph: (518) 464-0191
HOW LOW CAN INVENTORY GO?
The limited inventory of homes for sale continues to be a challenge for the housing market in the Capital Region.
Although New Listings increased by 8 percent to 1,241, up from 1,145 in February 2016, the number of Homes for Sale in the Capital Region dropped 19 percent to 5,061 in February 2017. That number is down from 6,274 in February 2016. The Months Supply of Inventory also decreased dramatically, by 25 percent, to 5.1 months in February 2017 from 6.8 months in February 2016.
NAR chief economist, Lawrence Yun, says too few properties for sale and weakening affordability conditions stifled buyers in most of the country. “REALTORS® are reporting stronger foot traffic from a year ago, but low supply in the affordable price range continues to be the pest that’s pushing up price growth and pressuring the budgets of prospective buyers,” he said. “Newly listed properties are being snatched up quickly so far this year and leaving behind minimal choices for buyers trying to reach the market.”
Homes in the Capital Region are spending an average of 78 Days on Market which is down nearly from 84 Days on Market in February 2016 and 100 Days on Market in February 2015.
Sellers are receiving 93.9 percent of their Original List Price last month – an increase over February, 2016 from 92.1 percent.
Greater Capital Association of REALTORS® President, Joel Koval, RealtyUSA says it is a challenging market on both sides of the table. “Sellers are getting a generous number of offers in this market,” Koval remarked. “The worry for sellers then becomes that there will not be a generous number of homes to choose from when they become buyers.”
Closed Sales were up 6 percent from February 2016 to 541 for the month. The Median Sale Price for a single-family home in the Capital Region rose 4 percent to $189,740.
Pending Sales across the Capital Region increased 8 percent to 860, signaling the continuation of a healthy market in the first quarter of 2017.
Greater Capital Association of REALTORS® CEO, Laura Burns, is encouraged by recent jobs numbers. “Unemployment has reached pre-recession levels,” Burns said. “This matters because job growth and higher paychecks fuel home purchases which has a positive economic impact across many industries and retail establishments in our region.”
The Greater Capital Association of REALTORS® is a professional trade association officially representing the real estate industry since 1920 (formerly the Albany County Association of REALTORS®) and is the local chapter for the New York State and National Associations of REALTORS®. GCAR is composed of a broad base of professionals including licensed real estate brokers and sales agents, multi-dwelling owners, appraisers, mortgage and banking professionals, title and abstract companies and other companies servicing the real estate industry.