Details about dip in real estate prices due to heading holiday season

Real estate buyers can expect a tiny discount on their dream homes, even though it’s not Black Friday or Cyber Monday.

According to the recent report of the National Association of Realtors, there was a decrease of 1.3% in median prices to hit $232,000 in October for the existing home comparatively than previous months. Still the prices seemed to show 6% higher than the same month last year. Prices and sales in general will drop with the approaching seasonal changes.

As summer ends, potential buyers will get engaged in their busy schedule preparing for their holiday plans.

We considered at those values that are not seasonally changed, in the sense, they weren’t shaped out during the 12 months of time in order to balance the seasonal ups and downs prevailing in the real estate housing market. Compared with last year October 2015, sales were slightly increasing this year by 0.5%.

NAR’S Chief Economist Lawrence Yun says, “due to the tightened labor market scenario, prevails a push up the wages and thereby economy has lately signals a possibility of greater expansion.

real-estate

These two aspects and low mortgage rates have made buyers to show interest on real estate market at an extended level till date.” He added, “Buyers are more successful in their deal lately even though there was a consistent rise in the prices than income and low inventory”.

So far, in the southern region, there were most existing abodes sales for about 179,000, however down in sales for 7.7% comparatively than last month and almost same as last year.

Even though the potential buyer’s focus is driven towards holidays plan and many take their abodes off the market, still there are lots of people shows interest and calls immediately after the holidays.

Midwest experienced next most sales, where still the prices were the lowest among the other regions in the country. Nearly 107,000 prevailing houses have undergone contract during October with a drop of about 10.1% from September, however, with an up of about 0.9% comparatively than a year ago.

The median home price during the October was $181,500, with a drop of 2.3% from September but 5.8% higher over than the same month last year.

In the west, buyers finished dealing on about 98,000 houses with an average of 8.4%, down from September and with an up of 2.1% over the same time last year.

There was a super-duper-pricey location, such as Silicon Valley, where there was an increase of 0.1% from the last month and 7.8% over a year earlier.

Only a few numbers of homes got sold out in the Northeast region, which is a setback caused due to the non-availability of land to raise buildings and high costing housing prices. Nearly 6.1% of dip in the number of sales in the October to hit 62,000 when compared to previous month.

When compared to earlier years, sales were also behind by 1.6%. Prices were also down in the region by 2.3% from September, however with an increase by 2.9% annually. The median price in October was $255,500.

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