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National Real Estate Summary
National Real Estate Summary
Presented by HouseHunt Inc

Publish Date: May 30th, 2018

2018 1st Quarter Market Report: Home Sales Steady - Prices Continue to Rise

The 1st quarter of 2018 ended on a good note with March existing home sales only down slightly over last year, and with 2018 home sales expected to exceed 2017 excellent year. Home Prices in 2018 continue to rise, increasing 5.8% over the end of March last year.

The most notable change in the 1st quarter was an increase in seller activity. Our survey showed that in 46% of the markets surveyed there were still more buyers than sellers, but a decrease of 27% from March 2017. Additionally, 17% of our markets surveyed showed more seller activity than buyer activity, an increase of 8% over last year. The remaining 37% of the markets showed an equal amount of buyer and seller activity which was an increase of 19% over last year. The increased activity, however did not ease the tight inventory 73% of our markets showing a very tight supply of homes available for sale. Home prices are also on the rise with 86% of markets showing price appreciation in the last year.

According the National association of Realtors (NAR) existing home sales in March were down 1.2% over last year, but annual sales are expected to hit 5.6 million units compared to 5.1 million in 2017; inventory of unsold homes is at a 3.6 month supply and 46% of all homes sold in under one month.

The data in this report is generated primarily from our survey of HouseHunt.com exclusive member real estate agents across the United States. This grass roots approach to studying the housing market gives us a thorough look at where the real estate market is through the eyes and perspective of the local real estate agents who are living and working in the trenches of each community.

Buyer and Seller Activity
The trend in both buyer and seller activity is up significantly in the 1st quarter of 2018 compared to the buyer and seller activity from last year. Buyer activity is steady or increasing in 94% of the markets surveyed and decreased in only 6% of the markets surveyed indicating a significant 8% increase in activity from Spring 2017. Simultaneously the trend for seller activity posted a solid 10% gain in the 1st quarter of 2018 with 85% of the markets indicating steady or increased seller activity compared to 75% of the markets at this time in 2017. Despite increased seller activity there are still more buyers than sellers and homes are selling quickly. In fact, according to NAR inventories have decreased to 3.6 month supply compared to 3.8 months in March of 2017. A balanced "normal market" is considered to be a 6 month supply of homes for sale.

The increased activity and low inventory has created an environment where homes sell very quickly. Our survey shows that in nearly two-thirds of the markets surveyed homes are selling in under 60 days. The average time on the market has stayed steady or decreased in 74% of the markets surveyed.

Home Inventory
Home inventories continue to be very tight with our survey showing that 73% of the markets are reporting tight to very tight inventory, however this is a decrease of 7% from 2017.. Conversely, 27% of the markets are showing a good supply of homes which is an increase of 7% over last year's first quarter survey of 20%. Increased seller activity is helping to begin to balance out the market so we would expect an increase in inventory as the year progresses.

Homeowners are receiving over 95% of asking price in 84% of the markets surveyed; which is a 15% increase from the first quarter of 2017. Homes that are priced correctly and in good condition are selling quickly, while over priced homes tend to stay on the market longer.

Home foreclosures continue to remain at normal levels with 100% of our real estate agents reporting that foreclosures made up less than 15% of the inventory in their community. Foreclosures and distressed properties are not having a major impact in the real estate markets.

In Conclusion
Many of the factors that have been prevalent in the housing market for the last few years are still in play, including low inventory levels, more buyers than sellers, and low interest rates. Add to that renewed optimism regarding the economy, a better labor market and a strong stock market indicates 2018 should be another very good year for home sales and prices. Increased seller activity bodes well for more inventory later in the year. The one potential damper on the market, as of now, is the possibility of higher interest rates.

HouseHunt, Inc. is a consumer-oriented Internet firm that provides free information and services to homeowners, home buyers and home sellers in 48 states through its member-agents and through its primary website, HouseHunt.com

HouseHunt's Quarterly Comparison Chart For the U.S. | 1st Quarter 2018 Results in Red
Buyer-Seller Ratio
More Buyers56%48%60%63%54%58%73%63%44%46%
More Sellers24%24%24%19%27%24%9%20%26%17%
About Even20%28%16%18%19%18%18%17%30%37%
Average Time On Market
0-60 Days69%65%67%53%64%59%63%70%69%66%
Sold in 60 Days Plus31%35%33%47%36%41%37%30%31%34%
Unsold Inventory
Good Supply31%33%33%34%30%30%20%16%20%27%
Tight Supply69%67%67%66%70%70%80%84%80%73%
Annual Price Appreciation
Up 0-5%26%30%36%34%24%27%24%30%41%35%
Up 5-10%44%36%35%32%34%36%39%34%26%37%
Up 10% Plus20%24%24%27%23%23%29%27%24%14%
Negative Appreciation4%4%5%2%14%9%5%5%5%3%
Buyer Activity
Repeat / Move UP / Investors79%84%85%81%82%81%74%77%74%74%
First-time Buyers21%16%15%19%18%19%26%23%26%26%
Ask vs. Sale Price
Less Than 95%25%23%22%22%17%28%31%22%18%16%
More Than 95%75%77%78%78%83%72%69%78%82%84%
Multiple Offers?
Short Sales / Foreclosures
Less than 15% of the market86%87%89%93%95%95%94%98%97%100%
More than 15% of the market14%13%11%7%5%5%6%2%3%0%
Buyer Activity Trend
No change20%13%15%13%18%19%12%4%22%28%
Seller Activity Trend
No change24%29%36%32%38%36%30%31%13%39%
Average Time on Market Trend
No change21%21%27%22%17%18%14%20%32%31%
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