Lancaster County PA: Home Sale Market Report - 2011 June

Lancaster County PA:  Home Sale Market Report - 2011 June

The following report was released yesterday by the Lancaster County Association of REALTORS (LCAR):

Upward Month-Over-Month and Pending Sales Show Significant Increase

LANCASTER-According to a report released today by the Lancaster County Association of Realtors® (LCAR), 378 homes sold in May of this year, a 22.1 percent decrease from the 485 sales in May 2010 when the government-sponsored tax credits were still impacting the marke (contracts had to be signed by the April 30, 2010 deadline; however, settlements from the tax credits continued to be reflected in the May and June statistics). During the first five months of the year, there was a 13.6 percent decrease from the 1,642 sales in 2010 to 1,445 in 2011.

Pending sales, homes that went under contract in the month of May, increased 42.4 percent from 269 in 2010 to 383 in 2011. The tax incentives in 2010 motivated prospective buyers to sign a contract before May 1st, so there was a rush to beat the deadline and then 2010 activity slowed. Over 45 percent of homes that sold in May were on the market 60 days or less.

The $169,785 average sale price for May 2011 is a 7.5 percent decrease compared to the May 2011 price tag of $183,636. The median sale price for the month in 2011 is $164,900 versus $167,900 for May 2010 (half of the properties sold during this period sold above that number, and half sold below). When comparing May 2001 to 2011, the average sale price increased 35.8 percent from $125,076 in 2001. There was a 28.9 percent increase in the number of new listings from 627 in May 2010 to 808 in May 2011.

"Housing statistics will soon become more meaningful as the effects of the 2010 government-sponsored tax credits lose their impact on the numbers and we can get a better read on our local market by comparing apples to apples," said LCAR president, Glenn Yoder. "The encouraging factors include the fact that month-over-month we post increasing sales between 9 and 21 percent (January 214, February 234, March 283, April 336 and May 378), plus pending sales are trending higher."Sharon Kress, regional president of Prudential HomeSale Services Group said, "Our agents are finding that some buyers who have been ‘on the fence' are realizing that now really is the best possible time to purchase . . . whether they are first-time buyers or in the ‘move up' category. Combining fantastic interest rates with a good selection of realistically priced inventory equates to incredible opportunity for our home buyers right now. And the benefit of the mortgage interest deduction is a plus that consumers don't always think about."

LCAR, representing over 1,400 members involved in all aspects of the real estate industry, is one of more than 1,800 local associations nationwide which comprise the National Association of Realtors®.

Year Over Year Pending Home Sales

Lancaster County PA: Home Sale Market Report - 2011 June 

Pending home sales are today's leading indicator in evaluating the most current real estate sales activity. The

monthly pending home sale numbers include those homes that went under contract in that given month. Using

pending home sale numbers provides the most current activity in the previous month.