For residential real estate in 2017, the news has continued to provide a relative
sense of calm for both buyers and sellers. The national unemployment rate
registered in at 4.1 percent for October 2017, which means that joblessness has
not been this low in the U.S. since December 2000. Another positive, mortgage
rates have held steady at or near 3.9 percent. Historically, the average rate has
been around 6.0 percent. These factors help to keep the pool of potential
buyers full, even during the so-called off-season of home sales.
New Listings in the Milwaukee region increased 2.8 percent to 1,754. Pending
Sales were down 49.5 percent to 713. Inventory levels fell 5.6 percent to 5,430
units.
Prices continued to gain traction. The Median Sales Price increased 4.5 percent
to $209,450. Days on Market was down 23.8 percent to 48 days. Sellers were
encouraged as Months Supply of Inventory was down 2.8 percent to 3.5
months.
Although inventory levels are low in many markets, there has largely been
enough listing and building activity, or at least conversation about future
activity, to maintain a positive attitude about the prospects of buying or selling a
home. Low affordability has started to become a recent topic of conversation
and is worth watching. But with a healthy economy, level of demand and
national unemployment rate, sellers are going to continue to see strong prices
for their homes.
