Home sales activity in Ohio reach highest level since 2008
Home sales activity throughout Ohio during the first quarter reached its highest level since 2008, a clear indication that the marketplace has begun to regain its footing since the onset of the economic downturn that gripped the nation and state, according to statistics provided by the state’s Multiple Listing Services.
Sales of new and existing homes posted a 12.7 percent jump during the first three months of 2012 compared to the same period a year ago, reaching 21,501 sales compared to the 2011 result of 19,071.
“Activity in March was substantial and we’ve now posted nine consecutive monthly sales gains, dating back to July 2011,” said Robert U. Miller, president of the Ohio Association of Realtors.
“We’re extremely hopeful that the housing sector will continue to make progress throughout 2012 and build upon the solid foundation that has been established.
“We remain confident about the Ohio marketplace – as interest rates remain at historic low levels, prices have begun to stabilize, sellers are realistic in their expectations and consumers understand that long‐ term, owning a home is a tremendous investment.”
Not only did sales levels during the first quarter exceed the pace of a year ago, the average sales price (January through March) throughout Ohio this year increased 3.4 percent, reaching $119,086 versus the 2011 mark of $115,081.
Total dollar volume this year is more than $2.5 billion, a 16.7-percent increase from the three‐month mark of a year ago of nearly $2.2 billion.
Miller noted that a recent survey of the state’s real estate professionals suggests that the industry remains extremely optimistic about the market’s outlook in the coming months.
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The OAR Housing Market Confidence Index, a recently created measurement of the perception Ohio Realtors have of the marketplace, offers the following highlights in the April 2012 report:
• 83 percent of Realtors describe the current housing market in their area as moderate to strong; a 6 percent jump from the perception of professionals a month earlier. This month’s Realtor Current Market Index measurement reached 50, increasing 6 points from last month’s index of 44. It’s the highest the RCMI has been in Ohio since OAR began tracking it in June 2011, when we attained an index of 28.
• 88 percent of the respondents have moderate to strong expectations for their market in the next six months; a 3 percent increase from the prior month. This month’s Realtor Future Market Index reached 58, marking a 5 point increase from the index posted last month. The current RFMI is the highest it’s been, a marked improvement from the lowest index posted in October 2011 (of 25).
• 90 percent of Realtors believe home prices over the next year will remain stable and could even post gains; an 8-percent increase from the prior month. The Realtors Price Index for Realtors’ expectations for the next year increased 4 points to 58 from last month. Our April RPI is the highest it’s been, a 19-point improvement from our low posted in June 2011.
“One thing is clear, Ohio’s real estate professionals are certain that the desire to achieve the American Dream of homeownership remains strong throughout Ohio,” Miller said. “The difficult challenges we’ve faced since the economic collapse of 2008 have certainly not completely dissipated, but it’s apparent that the industry is encouraged that the light at the end of the tunnel is getting brighter.”
Sales in March reached 8,712, a 7.5-percent increase from the 8,104 sales posted during the same period a year ago. The month’s average sales price of $124,088 is an 8.9 percent increase from the March 2011 mark of $113,062.
Total dollar volume in March nearly reached $1.1 billion, an 18.0 percent increase from the $916 million mark posted a year ago.
Data provided to OAR by Multiple Listing Services includes residential closings for new and existing single‐family homes and condominiums/co‐ops. The Ohio Association of Realtors, with more than 26,000 members, is the largest professional trade association in Ohio.