The housing market recovery continues with another month of increasing home values. According to the March RE/MAX National Housing Report, the median price for all homes sold in the 52 surveyed metro areas rose to $170,000, a total of 6.2 percent higher than the previous month and 8.4 percent higher than the year before. This makes it the 14th consecutive month that the median price has risen over the previous month's value.
An increase in home values is not the only positive change occuring, either. There's been a 2.9 percent increase in year-over-year sales numbers, marking the 21st month in a row where higher sales were reported over the same month in the previous year. March also saw a 27.8 percent increase in closed transactions over February.
Meanwhile, inventory continues to stay at low levels, which is influencing the price gains seen while limiting overall sales. There were nearly 30 percent less homes on the market in March than the year prior. The total Months Supply of homes is listed at 3.8, which is the lowest number reported since RE/MAX began collecting these figures in August of 2008.
"Home sales remain strong, and rising prices are a positive trend, but the shrinking inventory is starting to be a concern," said Margaret Kelly, CEO of RE/MAX, LLC. "Hopefully, higher prices will result in more homeowners gaining increased equity, and feeling comfortable putting their home on the market."