Headlines across the country are reporting that the latest Existing Home Sales Report from the National Association of Realtors (NAR) revealed that sales were below year-ago levels for the first time in 29 months. Some claim that this is proof that the housing sector is still on shaky grounds. Others are trying to explain away the decrease in sales by looking at a possible lack of consumer confidence or rising interest rates.
Our analysis is that December’s fall in sales is directly attributable to a lack of salable listing inventory. Click through the images to the map showing year-over-year sales numbers by region.
We can see that two of the four regions had an increase in sales (Northeast and South Regions) while a third was unchanged (Midwest Region). The big fall-off in sales occurred in the Western Region. The dramatic fall-off in the West can be directly linked to a shortage of inventory in their hottest markets. If the decrease in sales was caused by an eroding of consumer confidence and/or rising interest rates, we believe each region would have seen similar decreases.
Real Estate is a hyper-local business. What that means is that what happens in San Francisco’s housing market really doesn’t make much of a difference in Evanston. Those of us who specialize in the Evanston market are expecting 2014 to be another solid year for Evanston Real Estate. If you’re considering buying a home, now is the time to contact me for advice on how to make the most of this year’s market opportunities. If you’re considering selling your home, now is the time to contact me for expert analysis and marketing advice. Let’s do some housing for good.