HOME SELLERS ARE POCKETING MORE MONEY NATIONALLY

HOME SELLERS ARE POCKETING MORE MONEY NATIONALLY

HOME SELLERS ARE POCKETING MORE MONEY NATIONALLY

(summarized from the NAR Daily Real Estate News, Friday, April 28, 2017)

Stack of $100 billsNationally, the average price gain for homeowners who sold in the first quarter was $44,000. This represents an average return of 24 percent on the purchase price -- the highest average price gain for home sellers (in both percentage and dollars) since the third quarter of 2007, according to ATTOM Data Solutions’ First Quarter 2017 U.S. Home Sales Report.

According to Daren Blomquist, senior vice president with ATTOM Data Solutions, “The first quarter of 2017 was the most profitable time to be a home seller in nearly a decade, and yet homeowners are continuing to stay put in their homes longer before selling.” Blomquist noted that “This counterintuitive combination is in part the result of the low inventory of move-up homes available for current homeowners, while also perpetuating the scarcity of starter homes available for first-time home buyers.”

The report showed that homeowners who sold in the first quarter had owned their home for an average of 7.97 years. Between the first quarter of 2000 and third quarter of 2007, prior to the Great Recession, average homeownership tenure was 4.26 years.

Blomquist suggested that the situation may be changing somewhat: “There are some early signs this inventory logjam may be loosening up in some markets, with the average homeownership tenure down from a year ago in nine of the 66 markets we analyzed, including Memphis, Dallas, Boston, Portland [Ore.], and Tampa," adding that "sky-high potential price gains may be finally prompting more homeowners to sell.”

Contact Information

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Hickinbotham Real Estate Team
Scott Hickinbotham
862 S. Outer Rd.
St. Clair MO 63077
Scott: (636) 399-2296
Office: (636) 629-3419
Fax: 636-629-4462