Cleveland, Northeast OH Area Real Estate Market June 2013

According to the Northeast Ohio Regional Multiple Listing Service (NORMLS) and an article from the Cleveland Plain Dealer newspaper, homes sales in the region continue to surpass last year's sales figures, as we have now hit the mid-point of the year. Lower home inventory, higher rental prices and higher buyer demand due to low (but climbing) interest rates, is driving this increase in activity and increase in sales prices.  The low inventory continues to increase new construction demand, as well.
Sales comparing June 2012 to June 2013 show increasing sales figures by double digits, like they did in May.  Among the 15 counties in Northeast Ohio, single family home sales are up 13.3% and 11.2% for condominium sales.  From May to June 2013, sales rose by 4%. 

By comparison, Northeast Ohio is showing a 8.4% price increase from last year, with the state of Ohio's at 9.3%. Ohio's sales volume increase was also up by over 15% from June 2012.  The US market saw a 13.5% increase in sales price from the year before, and is showing a sales volume increase of only 15.2%.  Last month, Northeast Ohio outpaced Ohio and the US in both volume and price increases.

The key point here is that the market is starting to stabilize and shifting to a seller's market.  Sellers are getting more for their homes than last year, with buyers paying a bit more to purchase a home to take advantage of the low interest rates.  Buyers should note that interest rates have begun to increase over the past several months, hovering around 4% or so.  Rates were nearly a full percent lower in November of last year.

This is a great time for buyers who also have a home to sell, because rates are still relatively low on the buying side, but home values have risen in many areas to improve the financial return on the selling side.