Home sales were down in the most recent quarter, but that’s not necessarily unexpected according to the Peoria Area Association of Realtors.
“We were growing year after year to make a five percent correction, considering what we are looking at, that’s not that bad,” PAAR President Jana Heffron explained.
PAAR reported there were a total of 1,566 closed sales (single family and condominiums) in the second quarter, down 9.8 percent from 1,736 in the second quarter of 2016. The number of year-to-date sales are off 5.3 percent in the Peoria region to 2,569 sales from 2,712 through June of 2016.
Heffron says the positive news is the affordability of Peoria homes is high.
“We were ranked 21st nationally as one of the most affordable cities to call home,” Heffron explained.
PAAR’s most recent data shows favorable local home prices as compared to nationwide median prices.
The Peoria area median home sale price was up .2 percent in the second quarter to $121,900 from $121,612 in the second quarter of 2016. The median is a typical price where half the homes sold for more and half sold for less. The national median home sale price stood at $252,800 in May, according to the National Association of Realtors.
“So we have low rates and we also have a good supply of well-priced homes,” Heffron said.
Heffron says that is, in part, why it took less time to sell a home in the second quarter in the Peoria area; the average was 79 days compared to 85 days in the same period in 2016.
“The price range that tended to sell the fastest in the most recent June time frame was the $175,000 to $275,000 price range,” Heffron explained.
Heffron says, despite a dip in overall home sales, luxury home sales were actually up.
“Price range with the largest gain in sales activity in June was actually the luxury home market $500- (thousand) plus. There was actually a sale increase of 3.3 percent,” Heffron said.
The areas of the Peoria region reporting property sale gains in June included the City of Peoria, Peoria County, Edwards and Washington.
The total inventory of homes for sale increased 1.4 percent in the second quarter compared to 2,972 listings on the market a year ago.
For the week ending July 13, a 30-year fixed mortgage averaged around four percent.