Home sales drop in Pierce as median prices fall

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For four consecutive months this summer and early fall, Wisconsin’s monthly home sales outpaced last year while median prices continued to fall, according to data released by the Wisconsin Realtors Association (WRA).

In October of 2011 alone, existing home sales statewide increased 13.5 percent compared to October 2010 and median prices fell 7.8 percent over the same period to $129,000.

Meantime, there were 17 closed sales in Pierce County in October ’11, 5.6 percent less than a year earlier. And at $151,750, Pierce’s October ’11 median sale price saw a 12.3 percent decline over the prior year. While the median price was higher, the county saw a bigger decline in October than the state overall, which dropped 7.8 percent to a median price of $139,900.

Sales in the first half of 2011 throughout Wisconsin were 17.6 percent below the 2010 levels, but in the last four months, the state is 24.5 percent ahead of last year’s pace, making the year-to-date figures just 2.8 percent lower.

All regions in the state saw their October sales volume increase, with all but the north region up by more than 10 percent over October 2010. On a year-to-date basis, all regions are in the vicinity of last year’s volume, with the southeast slightly above year-to-date sales up 0.6 percent, the north region slightly below year-to-date sales down 0.3 percent and the northeast region just 3.7 percent below sales levels through October of last year. The remaining regions are between 5.6 percent and 8.2 percent lower year-to-date.

Statewide, the median price of existing homes fell 7.8 percent in October 2011 relative to October 2010, and on a year-to-date basis, median prices were 5.7 percent lower than last year.

Currently there is 15.5 months of housing inventory, meaning it would take 15.5 months to sell the existing inventory, given the average monthly pace of sales over the last 12 months.

The state unemployment rate is more than a percent below the national rate, fluctuating between 7.3 percent and 7.8 percent throughout the year, and overall job growth has been flat.

For 2011, private sector job growth has essentially offset losses in government employment. The WRA’s report also showed housing affordability is at a very high level, with the median family income able to buy 243 percent of the median priced home in October.

Tags: news, wisconsin, home, money