Real Estate: Homes on Market Taking Much Longer to Sell, in Past Six Months

On average, the length of time required from real- Clint Johnson of Rose & Womble and exclusive
estate listing to contract has increased dramatically inmember agent in Virginia Beach and Norfolk, VA, area:
the U.S. in the past six months, according to"During the past few weeks we have seen a
HouseHunt's latest national "Current Market Conditions"softening of the market, with fewer multiple home
homes for sale activity survey. Seventy-five percentoffers and buyers negotiating for closing cost
of respondents said it is now taking more than 30assistance." He noted that the area has seen
days. Of that figure, 30% said it is taking more than 60tremendous growth in prices and in units sold. Median
days.home price is $230,000, up 15-20% in the past year.
Three months ago, 52% of survey respondents said- Rod Sullivan of GMAC Metro Brokers, exclusive
the average time on the market required for a homemember agent for Lithonia, GA, reports more sellers
to sell was more than 30 days on the real estatethan buyers with a good supply of unsold homes.
market. Six months ago, only 35% said it was takingAverage time on the market is 90-120 days. "Our
more than 30 days as buyer frenzy continuedgreatest activity is from first-time buyers. Median home
unabated.price is $150,000. Sellers are getting 95-100% of asking
"Current Market Conditions" 4th quarter survey alsoprices."
found:- Steve Gaines of CENTURY 21 Landtree and
Home sales prices remain firm. Currently, 82% sayexclusive member agent in Greenwood, IN, reports
they are getting 95% or more of asking home prices.more sellers than buyers and a good supply of unsold
This compares with 80% in the third quarter and 90%homes. "Average time on the market is 90-120 days,"
in the second quarter of 2005.he said. Median home price is $175,000.
Solid appreciation. One-half of all respondents report- Diane Ash of Weichert Realtors and exclusive
home price appreciation of 10% or more in the fourthmember agent in Middletown, DE, said lower property
quarter, year-to-year. This compares with 46% in thetaxes are attracting buyers from New York, New
third quarter and 42% in the second quarter.Jersey and Pennsylvania. Median home price is
Multiple offers down. Currently, only 50% of$300,000. Average time on the market is 30-60 days.
respondents report multiple offers. This is down from- Tim Ireland of Coldwell Banker Honig-Bell and
70% in the second and third quarters of this year.exclusive member agent in Mokena, IL, said sellers and
Buyers-sellers demand nearly equal. A more balancedbuyers are about 50-50. Average time on the market
real estate market between buyers and sellersis 60-90 days. Median price is $261,190 with a good
demand has emerged in many parts of the country.supply of unsold homes.
This compares with a 61-39% buyer ratio in the third- Leah and Neville Bradshaw of Long & Foster Old
quarter.Town/Historic,, exclusive member agents in Lorton, VA,
First-time buyers. Currently at 35%, this percentagereported more sellers than buyers and a median home
has stayed about the same for the last six-nineprice of $543,000, up 10-15% over last year. Even
months despite price and appreciation spikes on thethough sellers frequently get more than 100% of asking
East and West coasts and in Florida, Phoenix and Lasprices, they said that first-time buyers are very active.
Vegas. Greatest first-time buyer activity continues to- Dan Urbach of Prudential California and exclusive
be in the South and Midwest. Repeat and move-upmember agent in Pacific Palisades, CA, said his market
buyer activity remains strong. Investor andis settling down from a very hot seller's market to a
second-home demand has slowed.more balanced market. Median price home is $2 million,
Inventory of unsold homes growing. Sixty-five percentup 15-20% over a year ago. Average time on the
said the trend is up in local real estate markets.market is 30-60 days.
Fifty-five percent report a good supply in all priceMonte Helme is a national public relations consultant
ranges. Only 38% reported a good supply six monthswith HouseHunt, Inc. Previously, he was vice president
ago.of public relations and publications for Century 21 Real
Market Growth. Overwhelmingly, survey respondentsEstate Corp.; vice president of communications for
said job and population growth continues to fuelAmeriNet Financial Services (now LendingTree);
housing demand in local markets.assistant city editor/Orange County for the Los
"Our latest random survey findings are consistent withAngeles Times; executive sports editor of the
both nationwide housing sales data and forecasts ofRockford, IL, Morning Star and Register-Republic; and
top industry economists," said Michael Bearden,reporter for the Dixon, IL, Evening-Telegraph. Find real
President and CEO of HouseHunt, Inc. "Our strongestate, homes for sale through public MLS and check
economy and consumer demand made record homeswhat my home is worth by visiting websites:
for sale possible in 2005 despite destructive hurricanes,HouseHunt.com, moveUp.com, and SuperMLS.com,
rising mortgage interest rates and higher energy costs.powered by HouseHunt, Inc.
We're optimistic that a sustainable, more balancedFor additional information on HouseHunt, Inc., and the
housing market will be the cornerstone of the U.S.products and services it provides, please visit the
economy in 2006."corporate website.
A sampling of individual survey results: