Q2 2015 Housing Statistics for the Salisbury MD Area
For the period of April 1 through June 30, 2015, there were 264 settlements on single family housing units in Wicomico County, up 34% from this time last year. The median sales price was $142,000, up 9% over the same period along with a 4% increase in inventory.
Takeaways for Salisbury MD Area Home Buyers
After several consecutive quarters of year over year sales increases and/or price appreciation, home buyers in the Salisbury MD area can safely argue we are in a steadily improving local real estate market.
Interest rates have remained low, in spite of many predictions that they would push past 5% by the end of the year (which is still low by historical standards). Positive signs in consumer sentiment and labor markets mean now is an excellent time to purchase a home for those in a solid financial and employment situation.
Takeaways for Salisbury MD Home Sellers
Gains in housing prices over the last 12-18 months mean more Salisbury Maryland area homeowners have positive equity, putting them in better position to sell and have more options when it comes to subsequent home purchases.
Many sellers who missed the spring “selling season” can be misled into thinking the best time to sell their home this year is behind them. One only needs to look at last year’s solid 3rd quarter (although eclipsed by the second quarter of this year) to see this isn’t necessarily true. Accurate pricing and property condition will always be the keys to selling a home in a reasonable time.
What Lies Ahead for the Salisbury MD Area Real Estate Market?
To the average home buyer and home seller in the Salisbury MD area, what is happening in Greece is “Greek to them” and wouldn’t seem to affect them in any meaningful way. What the situation in Greece could do is rock financial markets in the EU and to the U.S. to a lesser extent, especially since the financial conditions of Portugal, Italy and Spain are on the same trajectory as that of Greece, which could be the first “domino”. Should this occur, investors would seek lower risk investments, largely our domestic bonds and driving down mortgage rates, in spite of the Fed’s handwringing about upcoming rate hikes.
For buyers and sellers of homes in the Salisbury Maryland area, this would mean more buyers can afford to buy and others can buy at higher price ranges than before, which obviously is favorable to home sellers. Home inventory in the Salisbury MD real estate market typically drops during the third quarter, but buyer activity normally drops off accordingly. A sizable drop in mortgage rates could change this, but we expect an active third quarter with single family home sales of around 220 units. An increase in the median sales price of around 5% would be “icing on the cake.”
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Information compiled by Kennington Realty Inc. is deemed to be reliable, but is not guaranteed © 2015 MLS and FBS