June Housing Numbers Continue Trend Of Local Real Estate Stabilization
July 16, 2010
Source: Frank Mortl, III
Job Title: Chief Executive Officer
Phone: (269) 382-1597
Email: FrankM@gkar.com
Kalamazoo, Michigan - The Greater Kalamazoo Association of REALTORSŪ (GKAR) announced their response today to the Monthly Cumulative Sales Report for June. The data displays extremely encouraging housing news for Kalamazoo area homebuyers and homesellers alike.
For the ninth consecutive month, residential units sold (closed) comparatively improved over prior year statistics. In fact, this June's sales (closings) of residential units, 405, indicate a mighty 25% rise in homes sold from June of last year. Additionally, the average residential selling prices of local homes improved the most in a June-to-June comparison since 2005 - 2006. The average residential selling price for the area rose 4% from June of 2009 to $139,457. To complete the trend of statistical increases, total dollar volume of residential sales rose a hefty 30% to $56.5 million in value compared to this time last year.
"Extremely affordable mortgage interest rates and stabilizing home prices are encouraging home buyers in the Kalamazoo area who were on the sidelines during most of the boom and bust cycle to pull the trigger on home purchases at an elevated level from a year ago," said Frank Mortl, III, Chief Executive Officer of GKAR. "We continue to witness the ongoing effects of the homebuyer tax credit, which had a very positive effect on June's real estate closings. In fact, with the homebuyer tax credit closing deadline recently extended from June 30th to September 30th, the housing hangover that was predicted to begin this summer after all of the tax credit deals closed, may be significantly delayed in our area or, hopefully, miss us altogether."
"Though GKAR leadership expects pending home sales to decline notably in the coming months due to the spring surge as a result of the tax credit, many REALTORŪ members within the Association feel that increased job growth and a manageable level of foreclosures are keys to heightened sales and respectable home values during the second half of the year. A major goal within the REALTORŪ community at the beginning of the year was for home prices to stabilize and it appears we are well on our way toward accomplishing that important step in the housing market's resurgence. With distressed sales at roughly the same level as a year ago, recent gains in home prices is a hopeful sign that the market is in a favorable position to stand on its own two feet without the need for further government stimulus programs."
Home mortgage rates dipped to a new record low recently as the 30-year fixed-rate mortgage averaged 4.57% compared to 5.14% a year ago while rates on 15-year fixed-rate mortgages fell to another record low of 4.06% down from 4.63% last year at this time. Also, the five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.85% compared to 4.83% a year ago while one-year Treasury-indexed ARMs fell to 3.74% down from 4.76% last year at this time.
GKAR encourages anyone interested in the purchase of a home to contact a local greater Kalamazoo REALTORŪ for more information on homebuying opportunities and the advantages available to both new and trade-up buyers. For more information on the many reasons to consider the purchase of a home in the greater Kalamazoo area, visit gkar.com or contact the GKAR office at 269-382-1597.
Contact:
Frank Mortl, III
Chief Executive Officer
Greater Kalamazoo Association of REALTORSŪ
5830 Venture Park Drive
Kalamazoo, MI 49009
269-382-1597
frankm@gkar.com
gkar.com
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