This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Home Sales Slip, Prices Remain Strong

DENVER, Dec. 18, 2013 /PRNewswire/ -- After 28 months of year-over-year increases in home sales, November saw a 7.8% drop. The housing market appears to be making expected seasonal adjustments, as the recovery is simultaneously impacted by a combination of factors - rising interest rates, the government shutdown, mortgage qualification difficulties, severe weather and seasonality. Mostly due to a still tight supply of homes for sale, the November median home price of $187,000 rose 13.7% over the price in November 2012. With the current rate of home sales, the number of months necessary to sell the entire inventory, or the Months Supply, inched higher to 5.4 months, very close to the 6.0 supply that defines a market balanced equally between buyers and sellers. The national inventory situation continues to move in the right direction. The current 12.9% drop in inventory from November 2012 is less than half the annual inventory loss seen in April of this year.


"In a month when we normally expect home sales to slow down, this November we've seen more than seasonality at play.  While the fundamentals for a housing recovery remain in place, the market never moves in a straight line.  Along the way, we should expect some fluctuations resulting from a number of different factors," said Margaret Kelly, RE/ MAX CEO.  

Transactions – Year-Over-Year ChangeThe November RE/MAX National Housing Report, a survey of MLS data in 52 metro areas, found a 15.9% monthly decrease in sales, and a 7.8% decrease from sales in November last year. A number of unrelated factors contributed to the change in direction, which broke a 28 consecutive month increase in year-over-year home sales. Of all 52 metro areas surveyed in November, only 9 reported higher sales than in November 2012, including: New York, NY +25.8%, Raleigh and Durham, NC +10.2%, Nashville, TN +4.0%, Tulsa, OK +3.4%, Cleveland, OH +3.4%, Honolulu, HI +2.6%, and Chicago, IL +0.4%. 

Median Sales Price The Median Price of all homes sold in November was $187,000. This price represents a 3.9% increase from October and a 13.7% rise from November 2012. The Median Price of a home has been greater than in the same month of the previous year for 22 consecutive months. Although home prices are significantly higher than one year ago, increases are mostly the result of low inventory and high demand. Of the 52 metro areas surveyed in November, 43 reported higher sales prices than one year ago. Of those, 16 metro areas reported double-digit increases, including: Las Vegas, NV +28.6%, Atlanta, GA +27.2%, Fargo, ND +24.9%, San Francisco, CA + 21.4% and Orlando, FL +20.4%.

Days on Market – Average of 52 Metro AreasFor all homes sold in the 52 markets surveyed in November, the average number of Days on Market was 68. This is just two days higher than the average seen in October, but is 14 days lower than the average seen in November 2012.  November marks the 18 th consecutive month with an average Days on Market below 90. A low Days on Market average, like November's 68, is the direct result of continued high demand and a reduced inventory of homes for sale. Days on Market is the number of days between when a home is first listed in an MLS and when a sales contract is signed. 

Months Supply of Inventory – Average of 52 Metro AreasA low inventory environment has characterized the housing market for several months. However, recent year-over-year inventory losses are significantly less than what was reported earlier this year or in 2012. With a 12.9% drop in inventory from last year, November's resulting Months Supply of homes for sale rose slightly to 5.4. Extremely low Months Supply remains in some key markets, such as: San Francisco, CA 1.3, Denver, CO 2.2, Los Angeles, CA 2.7, Honolulu, HI 3.1, Washington, DC 3.1, Seattle, WA 3.2 and San Diego, CA 3.3.

ContactFor specific data in this report or to request an interview, please contact (303) 796-3405 or

About the RE/MAX Network:RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. Over 90,000 agents provide RE/MAX a global reach of more than 90 countries. Nobody sells more real estate than RE/MAX.

RE/MAX, LLC, one of the world's leading franchisors of real estate brokerage services, is a subsidiary of RE/MAX Holdings, Inc. (NYSE:RMAX).

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $95.23 1.70%
FB $117.72 -0.72%
GOOG $694.80 -0.49%
TSLA $235.81 -2.50%
YHOO $36.13 -1.10%


Chart of I:DJI
DOW 17,769.77 -121.39 -0.68%
S&P 500 2,066.57 -14.86 -0.71%
NASDAQ 4,784.8210 -32.7730 -0.68%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs