Empire State Housing Market Rides Momentum Into November

The Empire State’s November housing market posted a 4.8 percent increase in closed sales compared to a year ago, according to the housing market report released by the New York State Association of Realtors (NYSAR). The strong buyer activity also drove a nine percent growth in the median sales price compared to November 2012. “November’s buyers and sellers bucked the typical seasonal slowdown in our statewide housing market,” said Duncan MacKenzie, NYSAR CEO. “Looking forward, our data shows a 22.5 percent hike in pending sales so we anticipate the growth trend that began in the spring to continue through the end of 2013.” The statewide median sales price reached $229,000, an increase of nine percent compared to the November 2012 median of $210,000. This marks 18 consecutive months of year-over-year median price gains. The year-to-date (Jan. 1 to Nov. 30) median of $226,000 was 6.4 percent above the $213,000 median in 2012. “Higher selling prices throughout the year have not deterred consumer activity, which indicates that there is still pent up demand for homes,” said MacKenzie. “Sellers are making the biggest gains in this market with homes selling for 95 percent of the asking price in November, while being on the market fewer days than earlier this year.” There were 8,184 closed sales in November, up 4.8 percent from the November 2012 total of 7,811. Year-to-date (Jan. 1 to Nov. 30) closed sales reached 97,861 at the end of November, an increase of 12.5 percent from last year. Pending sales jumped 22.4 percent to 8,109 in November 2013 compared to 6,627 in November 2012. The year-to-date (Jan. 1 to Nov. 30) pending sales total of 106,003 is 14 percent higher than the 92,980 pending sales during the same period last year. The month’s supply of inventory fell 21.2 percent in November to 8.95 months supply. It was at 11.3 months in November 2012. A six-month to 6.5-month supply is considered to be a balanced market. Inventory stood at 83,019 units in November 2013, a decrease of 10.5 percent compared to November 2012. “We will be keeping a watchful eye on lawmakers in Washington as they consider major housing legislation,” said MacKenzie. “This includes an extension of debt forgiveness when sellers are forced into short sales and a measure to delay further implementation of National Flood Insurance Program reforms, which are now negatively affecting sales in a number of areas.”