Home sales in the 1st quarter of 2012 are the highest in 5 years according to the National Association of Realtors. Total home sales which included single family and condos increased 4.7% to a seasonally adjusted rate of 4.57 million in the first quarter. This is up from the 4.37million in sales of the 4 quarter of 2011 and were 5.3% above the 4.34 million in the first quarter of 2011 when sales spiked.
Even though sales have increased, the values continue to fall.The median single family home price is $158,100 compared to $158,700 one year ago. Distressed home sales which are typically deeply discounted resulted in the 32% of first quarter sales.
There are definite signs of a upswing in buyer activity this year. On a better note, the dwindling supply of inventory and higher listing prices that are being negotiated today, prices are expected to show further improvement.
With the low rates and dwindling inventory, we can expect matters in the housing market to get better. We expect a record year is volume. So far this year our first quarter is one of the biggest on record.