For the 7th straight month, home sales in January inched higher, rising 3.4% above the level seen last January. This data is based on a weighted average of 53 metropolitan areas surveyed for the RE/MAX National Housing Report. After an unexpected jump in sales at the end of 2011, January sales returned to a seasonal norm and were down on a monthly basis 19.3% from December. Perhaps due to falling foreclosure numbers, January was the 19thconsecutive month that inventory levels dropped. The number of homes for sale last month was 24.1% lower than the number seen in January 2011. In the 53 metro areas, home prices were down only 0.8% from one year ago, building a trend of much anticipated price stabilization.
“This positive start to the year will hopefully set the tone for a continuing housing recovery that’s drawing home buyers with low interest rates and low prices,” said Margaret Kelly, CEO of RE/MAX, LLC. “If sales continue ahead of last year’s pace and inventory does not increase significantly, we could start to see increasing home prices this year.”
