MLS

April 2010 Statistics

Metro Home Sales Up 36.4% for April 2010

Following a pattern similar to what we saw last November, sales at the end of April surged over April 2009 as the homebuyer tax credits ended.

Sales in the 4-county Metropolitan Milwaukee area rose 36.4% for April 2010, compared to the same time in 2009, according to housing statistics released today by Metro MLS, Inc.

All four metropolitan counties saw a noteworthy increase in sales. Waukesha County lead the way with a 54.2% increase, followed by Ozaukee, 40.7%, Milwaukee County, 31.5%, and Washington County 25.0%.

The increase in sales in suburban counties is significant because those counties added to their inventory of “move-up” houses during the recession, and the market needed to shed those. It would appear that the $6,500 homebuyer tax credit targeted at buyers who were also selling a home has worked.

While the percentage increase may not be as eye-popping as the October and November 2009 numbers – when we had 33.9% and 74.9% increases, respectively – the boost is considerable, because the spring market usually sees heavier volume. Double-digit increases at this time of year means many more houses are moving compared to the lighter volume we usually experience in the fall months. For example, in November 2008 Waukesha County recorded 197 sales, a year later in November of 2009, during the height of the tax credit frenzy, the county recorded 335 sales, a 70.1% increase. Compare that to April 2009, when Waukesha County had 253 sales, and last month the county had 390, a 54.2% rise.

Future Market
Many brokers believe that the tax credits brought business forward into April, but the big question remains, “Will the market slow down now?” Only time will provide the answer to that question, but with consumer confidence rising, favorable interest rates, low prices, and plenty of inventory, the GMAR expects the rest of 2010 to be fairly decent for home sellers, but the market will remain a buyers market.

In these confusing times, buyers and sellers should remember to “Start With A REALTOR®” before consulting with a lender or other housing professional.