With the Olympics in full swing, residential real estate is already eyeing the podium. A few short years ago, housing was considered a headwind to economic recovery. Today, housing is seen as a tailwind to a stalling economy. For the first time since 2005, housing is on track for contributing positively to national GDP in 2012. That can occur either by way of direct residential investment or through remodeling and other ancillary services. Watch for signs of sustained tailwinds in a variety of indicators, including market times, seller concessions, prices and absorption rates.
New Listings in the Milwaukee region decreased 3.5 percent to 2,004. Pending Sales were down 12.5 percent to 1,050. Inventory levels shrank 17.1 percent to 9,687 units.
Prices were mostly stable. The Median Sales Price decreased 1.7 percent to $172,000. Days on Market was down 7.4 percent to 101 days. The supply-demand balance stabilized as Months Supply of Inventory was down 33.3 percent to 8.5 months.
Sustained recovery will not occur without real employment and wage growth. Consumers must be confident in both the economy and their family finances before signing on the dotted line. Cheap borrowing costs have served as the glue binding things together. Unimaginable a few years ago, the rate on a 30-year fixed mortgage recently ducked below the 3.49 percent marker. Job creation and GDP numbers will garner particular attention this quarter.
All data for the market reports comes from the Multiple Listing Service, Inc. and is powered by 10K Research and Marketing. You can follow this link: http://www.metromls.com/support/Market_Updates/index.html or visit www.metromls.com.
Any questions, please call the Help Desk at 414.778.5450.
Or e-mail firstname.lastname@example.org. You may also follow our updates at http://twitter.com/metromls.