Peoria, Ill. – July 15, 2014 – The Peoria Area Association of Realtors® (PAAR) reports that after a slow start to the home sales activity in 2014 due to weather, the second quarter home sales were up 3.2 percent and the median sales price increased 1.5 percent, up to $126,825 over $125,000 in the second quarter of 2013. The average sales price also increased 3.5 percent to $152,384, compared to $147,301 in 2013, due in part to increased sales in upper price ranges.
Real estate sales activity didn’t pick up until May, nearly two months later than usual, but was in full swing by June, evidenced by an 11.7 percent increase in home sales as compared to June 2013. Home inventories stayed low at 2513, up one percent compared to the same time last year, making it more difficult to find the right home for all buyers in some areas. Homes took a bit longer to sell – 88 days on average compared with 84 in the second quarter of 2013. Month’s Supply of Inventory is up 5 percent, to 6.3 months.
“After the brutally cold weather slowed home sales activity to a crawl during the first quarter, we are happy to see the market rebound, said Tonya Burris, PAAR Board President. “Although sales activity did not pick up until May, nearly two months later than normal, we are now in the full swing of the summer sales season and have caught up with 2013. Activity is picking up in the upper price tiers of $500,001 and above with the number of sales increasing 21.5 percent in the 2nd quarter. Rents continue to climb – making buying a home a good value – and interest rates are generally lower than a year ago, to the surprise of some and the delight of others.
“One of the big stories in central Illinois,” reported Burris, “is the new home construction business which appears to be booming. Usually renewed activity in new home construction signifies recovery and market growth. But this year there is a unique twist to the story; a huge percentage of the properties under construction are rebuilds in Washington, East Peoria and Pekin, where over 1500 homes were destroyed by the tornado in late 2013. Although there is a demand for custom-built properties throughout the area, the availability of contractors and other trades is extremely limited with so many involved with rebuilding those communities. For those interested in building in the next 12-18 months, we suggest getting on your contractor’s waiting list as soon as possible.”
June 2013 to June 2014 Statistics —
-
The June 2014 closed sales were up 11.7 percent over June of 2013.
-
The June 2014 Median Sales Price was down 4.9 percent to $131,250 from $138,000 in June 2013. June’s Average Sales Price was down 1.4 percent to $156,493 from $156,655 in 2013.
-
The New Listings in the Peoria region decreased 1.6 percent to 814.