Realtor.com® Report: 2014 Real estate Starts Strong

The polar vortex is proving to become no sweat for home buyers, according to the latest National Housing Trend Report from realtor.com®.

Despite severe the winter season conditions nationally, the 2014 property season got off to a good start having a year-over-year surge in inventory and sustained development in home values.

The median list price for January rose 8.3 percent when compared to the same time not too long ago, using the realtor.com® data. The quantity of properties available for sale was up 3.1 percent. And the median chronilogical age of inventory was essentially unchanged, indicating a transition into a “less frenzied market” compared with January 2013.

The solid start “is usually an encouraging sign of sellers’ interest, particularly given the adverse conditions due to the polar vortex,” said Errol Samuelson, president of realtor.com®. “We had the tight-supply market of last fall carry all the way up into November — later than is commonly expected — and this early increase in inventory can be a welcome trend.”

Looking ahead, the nation's median existing home prices are projected to go up about 5 percent in order to six percent in 2014, using the Nar®, which cites job growth and enormous, pent-up demand as drivers of the market see how to avoid of rising mortgage rates.

The California, Detroit and Nevada markets keep top their email list of areas using the largest year-over-year increases in median list prices, boasting increases of twenty percent or maybe more.

Though the polar vortex took a toll in some parts of the world. Strong markets hit hard by cold weather — like Boston, Chicago and Detroit — saw up to 10 % month-over-month declines in inventory. Once cold weather subsides, however, these markets can experience a robust recovery, realtor.com® analysts said.

National Perspective

Inventory increasing: In the national level, for-sale inventories have become 3.1 percent above these were recently, plus the rise in inventory is spreading to more markets nationwide. In January 2013, just eight markets out of your 146 registered increases in inventory. This January, 83 in the 143 markets tracked by realtor.com (58 percent) showed increases in inventory, year over year. Even though the next several months will likely be critical to see, these trends suggest an increasingly balanced housing marketplace going into the 2014 home buying season.

Price increases more widespread: Median list price rose a normal 8.3 % in January 2014 compared to the same time this past year. In January 2014, 44 markets saw year-over-year list price increases of ten percent or even more, in comparison to January 2013, when 24 markets registered double-digit increases in median list price. The amount of declining markets with regards to median list price dropped from 58 in January 2013 to simply 13 in January 2014.

Days on market stabilizing: Median chronilogical age of inventory remained steady in January 2014 when compared to same time recently, at 115 days. However, the volume of markets showing year-over-year declines in inventory has dropped significantly, from 133 markets in January 2013 to 78 markets in January 2014. Meanwhile, 56 markets showed year-over-year increases in inventory in January 2014, in comparison with just nine markets in January 2013.

Local Market Highlights

California, Detroit and Nevada markets always dominate the list of areas that great largest year-over-year increases in median list prices, with increases of twenty percent or higher.

Moving into the spring months, you will need to watch out for markets with a possible resurgence, including Denver, Boulder, Chicago and Corpus Christi, TX, where depressed inventories are actually followed by large year-over-year gains in median list prices. Sustained low inventories during these markets could to steer to demand-driven housing price increases that characterized California and quite a few of the sand states in 2013.

Strong markets particularly worth noting as those worst hit by climate-driven troubles include Boston which has a 10.9 percent month-over-month inventory decline, Chicago using a 6.1 percent inventory drop, Denver using a striking 13.5 percent inventory decline, Detroit that has a 6.8 percent reduction, Ny having a 9.5 percent decline, and Philadelphia with an 8.2 percent decline. These markets can suffer notable inventory recovery after prohibitive varying weather condotions subside.

Realtor.com® regularly tracks property data and develops monthly reports featuring how many listings, median day of inventory and median list price throughout the U.S. as well as in specific markets, along with provides year-over-year and month-over-month changes. These reports would be the only ones pulled from the realtor.com® database, where 90 % of listings are updated every quarter-hour from over 800 MLSs. We regularly review boost historical data so that you can supply the most accurate and comprehensive market information available. For additional info on Move, please visit www.move.com or one of that many online real estate property properties including realtor.com®.