SAN JOSE, CA-Locally based Realtor.com recently released its National Housing Trend Report indicating an improvement from this time last year in spite of seasonal influences. Data from realtor.com reveal that November 2013 median list prices remained unusually strong for the season, showing a healthy 6.9% increase year over year while declining 0.7% month over month, a sentiment echoed in another recent GlobeSt.com article.
“The housing market in November continues to demonstrate encouraging signs of sustainability for the escalating gains this year in price,” says Errol Samuelson, president of realtor.com. "With demand in a much stronger position compared to last year, we anticipate these gains to remain steady into 2014, but with increases expected at a more moderate pace than we have seen in 2013."
National inventory appears to be stabilizing from dramatic drops in the beginning of the year, although the country is still experiencing significant supply shortages, says Realtor.com. Housing inventory increased 0.2% above year-ago levels—the first year-on-year increase in 2013—while declining slightly from the previous month, a sign of seasonal influences.
Median age of inventory is down 10.6% compared with year-ago levels, showing significantly stronger activity compared to the same time last year. Month over month, median age of inventory did show some seasonal change with an increase of 7.5%.
The National Association of Realtors also recently predicted a flattening trend for 2014, noting that low housing inventory is holding back sales while pushing prices higher in much of the country. NAR recently reported that existing-home sales declined for the third consecutive month in November.
Local Market Highlights:
*List prices are still on the rise. The majority of housing markets are registering positive signs, with 111 of the 146 markets covered by realtor.com showing year-over-year increases in their median list price of 1% or more, and only 10 markets registering declines of 1% or more. California and Nevada markets continue to lead the country in terms of year-over-year-list price increases, followed by Arizona, Florida, and other areas that were once the epicenters of the housing crisis. The Detroit metro market also has shown solid gains.
* Inventory shortages have moderately eased. In many of these housing markets, rising list prices were primarily driven by a shortage in for-sale inventories. While still significant, these shortages are abating as sellers have attempted to take advantage this year of improving housing conditions. While inventories continue to be down on a year-over-year basis in the majority (86) of housing markets, the shortfalls are gradually declining.
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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.
