MARCH HOUSING SALES SURGE ABOVE PRIOR YEAR
April 23, 2015 – The REAL Trends Housing Market Report for March 2015 shows that housing sales increased 15.9 percent from the same month a year ago. All four regions reported unit sales had increased from a year ago with the Midwest leading the way with an increase of 18.4 percent.
The annual rate of new and existing home sales for March 2015 was 5.972 million units up from a rate of 5.151 million in March 2014.
Housing prices rose an average of 4.9 percent from March 2014, continuing the moderate price increases of the past twelve month period.
“March housing sales were very strong across the board, in all regions in March. While some of this is the result of depressed March closings from a year ago, when weather affected written contracts in January and February in the Northeast and Midwest, the strength of the increase in all regions was a welcome surprise”, said Steve Murray, editor of the REAL Trends Housing Market Report. “Reports from industry CEO’s in late March and early April indicate that April business is continuing to be stronger than expected. The only downside is reports that many markets are becoming critically short of inventory and that future months sales are likely to be negatively impacted by this shortage. Some high end markets are running critically short of available inventory of homes for sale according to a survey of brokerage CEO’s.”
Housing unit sales for March 2015 increased 18.4 percent in the Midwest, the best performance in all regions. Sales in the West region were up 16.4 percent, the South saw an increase of 16.7 percent and the Northeast had an increase of 9.3 percent.
The average price of homes sold in March 2015 in the Midwestern region increased by 9.8 percent, the best result in the nation. The Northeast saw average prices increase 7.4 percent, average prices in the South were up 4.6 percent, and the West saw average prices rise 3.6 percent.
“While the job market remains strong average household incomes continue to show very sluggish growth. And while the private market for mortgages is less stringent than it was in the past, many of the major lenders remain wary of adopting looser underwriting standards. So while there has been a pick up in first time homebuyer activity, it is not expected to return to normal historical levels of activity”, Murray added.
REAL Trends Housing Market Report
March 2015 February 2015
Closed Sales AVG Price Closed Sales AVG Price
+15.9% +4.9% +6.6% +2.9%
+9.3% +7.4% +12.9% -4.8%
+16.7% +4.6% +6.7% +4.4%
+18.4% +9.8% +7.3% +7.9%
+16.4% +3.6% +2.3% +4.9%