Housing Market Update
Despite an increase in interest rates, home sales hit a record high in May!
In 2021 the average sales price in May was $315,127 while, last month, the average sales price reached $353,116, a 12.1% increase.
Furthermore, fewer homes in Central Ohio required a change in the list price compared to last year.
“Seasons impact real estate more than you might think,” said Sue Van Woerkom, 2022 President of Columbus REALTORS®. “The colder months tend to keep some buyers out of the market so more sellers may reduce the price of their home to compete.”
“When the temperatures heat up, so does the housing market as more buyers start shopping for a new home. And the result is fewer price reductions.”
“But it’s critical to price your home appropriately from the start. Real estate professionals know the market and how the right price will significantly affect the time it takes to sell a home.”
Inventory is still low and new listings decreased by .5% last month, but home sales continued to increase.
“Homes in all price ranges are still selling quickly,” added Van Woerkom. “However, homes in that $215,000 to $350,000 range are the sweet spot right now as it includes many first-time buyers. Competition is fierce for these homes as we just don’t have enough to meet the demand.”
Fewer buyers went into contract on homes last month which suggest fewer closings will take place this month.
“The rise in interest rates has significantly impacted the housing market,” added Van Woerkom.
“And the Federal Reserve’s move to raise its benchmark rate by three-quarters of a percentage point last week will likely sideline more home buyers.”For a detailed report on your neighborhood, contact The Alfriend Group today at (614) 395-1776 or email us at firstname.lastname@example.org.