Home sales across Wisconsin were up in January, but appear to be leveling off due to continued reductions in the number of homes being listed on the market.
Sales were up 1.7 percent in January, compared to January 2016, according to the Wisconsin Realtors Association. The growth rate is lower than the 5.9 percent average increase throughout 2016.
The WRA is attributing this to home prices increasing and the continued lack of inventory throughout the state.
The median sales price has increased 6.4 percent over the past year, to $158,000. In southeast Wisconsin, which includes Milwaukee, Kenosha, Ozaukee, Racine, Sheboygan, Walworth, Washington and Waukesha counties, the median price has increased 6.2 percent. It is now $163,000, up from $153,500 in 2016.
“The mild winter has helped January sales somewhat, but it’s really the solid economic fundamentals that are supporting this strong market,” said Erik Sjowall, WRA board chairman, adding homes that closed in January likely had accepted offers in late November or early December.
Inventory remains low. The supply of homes on the market is 4.3 months. The market is considered balanced when there is a six month supply. Anything lower than that is considered to be a seller’s market.
Statewide, new listings were down 11.4 percent in January 2017, compared to the previous year.