Is The Extended Boom Coming To An End?
A report from the Atlanta Journal Constitution in Georgia. "The retreat in Atlanta’s housing market is becoming a rout: the number of home sales last month took a double-digit tumble from a year ago, according to two reports issued this week. 'A 15 percent decrease in home sales year-over-year in metro-Atlanta is a significant reduction and much more than the national average,' said John Rainey, Re/Max vice president. 'While homes sales traditionally continue to decline in the fall, what we’re seeing locally is unusual.'"
"The number of listings has ticked up in recent months, said Brad Dillman, chief economist for Atlanta-based Cortland. 'With more competing supply, and buyers already hamstrung by high prices and recent breakouts in rates, some individual homeowners looking to sell in the months ahead may find themselves less liquid than they want to be – or need to be.'"
The Star Tribune in Minnesota. "The Twin Cities housing market continues to show signs of a shift to a buyers’ market. September saw the smallest decline in active listings since May 2015, and data pointed to the possibility that inventory gains, which would make the environment more friendly for buyers, could be around the corner."
"In September, there were 6,857 new home listings in the Twin Cities, a 5.9 percent increase from a year ago, according to the monthly report. It’s a turn from last September when new listings dropped 5.2 percent."
"'Many buyers have been waiting for more sellers to jump in,' said Todd Urbanski, president-elect of MAAR. 'The fact is, four of the last five months saw year-over-year gains in new listings.'"
"Closed sales dropped 5.8 percent to 5,087, and pending sales declined 1.8 percent to 4,762 further indicating a market cool-down."
The Detroit Free Press in Michigan. "The extended boom in residential real estate sales in metro Detroit may be peaking if newly released September sales numbers are any indication, though experts say it remains a seller's market. In the tri-county metro Detroit area, Oakland County felt the biggest pinch, with residential homes sales down 8.9 percent to 1,399 last month, compared with 1,529 in September 2017, according to numbers provided by RealComp."
"So is the boom coming to an end? A random check by the Free Press of 10 Zillow listings for homes for sale in Royal Oak in the $250,000 to $300,000 price range, showed six of them had reduced the original asking price."
'Drew Mahar, a listing agent at Jim Shaffer and Associates in Royal Oak, said he's not surprised. He said the median sale price numbers can be misleading because they are based on closing of houses that sold before the market shifted."
"He said houses in desirable neighborhoods or that are close to downtown Royal Oak and priced right are 'going to fall off the market in the first week with multiple offers.' But houses in other areas are sitting on the market a little longer, he said."
"'It's definitely an interesting market that we are in right now,' Mahar said, adding that he believes rising mortgage rates 'is pushing the market the way it is.'"