Home Prices Continue To Rise In November Continuing Trend
If you want to buy a home you're likely to pay more than you did one year ago. If you can find a home you like.
As the year comes to an end, state realtors are noticing a year-long trend continuing: not as many homes are available and prices are rising.
Economist David Clark works with the Wisconsin Realtors Association.
He says a strong economy is fueling demand and with fewer homes available, especially in urban areas, prices are rising...
"...If you look at the year-to-date, we're off about 1.4 percent. Given the tight inventories, the prices are up about 6.9 percent. Inflation is running slightly over 2 percent a year so we're increasing prices well above the rate of inflation...."
Clark says another factor is the Baby Boomer generation is tending to live longer and live in their homes longer than prior generations. In this region, Clark says prices also have gone up...
"...If you look in the central part of the state, that's primarily rural, there were up 8.4 percent in November. In the northern region they were up 3.1 percent. It's a market that still has some life in it..."
Prices in the 18-county northern region average nearly $165,000. In central Wisconsin the prices were $148,000. The counties that comprise metropolitan areas had just 3 months of supply in November compared to 7 months of supply in rural areas.
A review of the last 12 months shows that the tightest supply levels were for homes selling between $125,000 and just under $200,000.