The National Association of Realtors® (NAR) reported that existing home sales dropped off considerably in November. Nationally, existing home sales slowed down to the slowest pace in 19 months. All four regions saw declines in November. Lawrence Yun, NAR chief economist, believes that multiple factors lead to the decline. He believes that the main reason is the implementation of the new Know Before You Owe rule. This rule tends to extend escrow lengths. So, there were a large number of contracts signed in October, but many of these homes were unable to close until December. Realtors®, lenders and title officers are all getting used to the new rule, and longer closing times is often a necessity. (WE strongly recommend using one of these Flagstaff lenders. They know our market and the rules of the industry.)
The median existing home price for all types of homes was actually up 6.3% from the previous year. Total housing inventory decreased 3.3% in November and is now 1.9% lower than November 2014. Click Here to view the regional breakdown of November home sales.
Here is Lawrence Yun’s press release:
As we reported in an earlier Blog, Flagstaff area November sales for 2015 were only slightly off 2014 numbers. Locally, we are continuing to see a shortage of inventory. This is often a slower time for real estate in Northern Arizona, but we are still seeing homes that are priced correctly, and in the $200,000-$500,000 price range, move very quickly.
Thinking about selling? Please contact us and we will be happy to assess your home.