SAN JOSE, CA-Realtor.com, a division of Move Inc., recently released its March data on the US housing market that shows growing optimism and confidence among potential sellers. Realtor.com's March 2013 data indicates that while national housing inventory decreased 15.22% since last year, the number of listings increased 2.36% since February 2013.
This month-over-month increase indicates a renewed willingness in sellers to put their homes on the market as list prices increased .05% both year-over-year and month-over-month to a national average list price of $190,000, says the company. The data also showed that the median age of inventory dropped to 78 days—a decrease of 20.41% since February.
“The newest data shows that the outlook is optimistic for the overall real estate recovery,” says Steve Berkowitz, chief executive officer of Move Inc. “The housing market is a key indicator for the national economy, and things are slowly picking up steam. The next three months will be significant in determining the impact of the recovering housing market.”
A month-over-month inventory increase of 2.36% reflects a rise in new property listings since February 2013, but there are drastically fewer homes on the market compared with this time last year--15.22% less, says Realtor.com. According to the company's report, while the median age of housing inventory continues to decline year-over-year by 12.35%, the amount of time houses are sitting on the market has decreased dramatically by 20 days since February, suggesting that a broad-based housing recovery is beginning to take hold.
The California market specifically, according to the firm, continues to show impressive recovery. Denver, Detroit and Seattle are also three new markets showing promising growth, according to the firm.
Since March 2011 in Denver, the median age of inventory has dropped from 46 to 24 days. Denver continues to remain in the top five nationally lowest age of inventory as it did in 2011, “a testament to its consistent leadership in the housing recovery,” says the company.
In March 2013, Detroit has risen to Realtor.com's 11th spot nationally in its year-over-year list price increases, ahead of hot California markets such as Stockton and San Diego and one spot below San Francisco. The amount of inventory in Detroit decreased 26.26% year-over-year, and the median age of inventory is only 45 days compared with 71 in March 2011.
And according to the firm, Seattle experienced a dramatic decrease of 40.17% in inventory year-over-year, helping to ignite an increase in median list price of 15.9% since last year. Seattle also experienced a decrease in median age of inventory of 21.21% month-over-month, another indication that new listings are entering the local market.
From a company standpoint, as GlobeSt.com previously reported, Move Inc. expects double digit growth in 2013. Revenue for Q4 was $52.7 million, an increase of $5.5 million, or 12%, from $47.3 million in the fourth quarter of 2011. As a percentage of revenue, Adjusted EBITDA improved to 15% of revenue in the fourth quarter of 2012 compared to 14% in the third quarter of 2012. Move has reported Adjusted EBITDA because management uses it to monitor and assess the company's performance and believes it is helpful to investors in understanding the company's business. For the full year ended December 31, 2012, Move reported revenue of $199.2 million, an increase of $7.5 million, or 4% compared to $191.7 million in 2011. Net income applicable to common stockholders in 2012 was $4.7 million, or $0.12 per share, compared to $3.2 million, or $0.08 per share, in 2011.
For more articles on the housing market, check out the below articles. And please write your own feedback below on where you expect for housing in 2013 and beyond.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
