WAUKESHA — Home
sales took a downturn of 8.5 percent during the month of June in the
four-county metropolitan Milwaukee area with a lack of homes for
sale to blame.
Milwaukee Association of Realtors said sales declined 8.5 percent
last month when compared to June 2017. The 2,369 homes sold in June
totals 221 fewer than in June 2017, when 2,590 units sold.
real estate market remains strong with eager buyers looking for
their new home, the GMAR says a lack of homes for sale is resulting
in flat sales for 2018. Also, the GMAR says that new construction,
while improved since the recession, remains “lackluster” and there
are few foreclosures.
“And, people are
not moving out of their existing homes for a variety of reasons,
including: Not having another place to move to, not feeling the
value of their home has totally recovered, or they have made
improvements to their existing home,” said Mike Ruzicka, president
of the GMAR, in the report.
houses that are move-in ready and priced at less than $300,000 are
receiving multiple offers and there aren’t any signs that the market
will be slowing down.
“The only thing
holding back a higher volume of sales is the availability of homes
for sale. And there doesn’t appear to be any way to remediate that
issue any time soon,” he wrote.
Home sales in
June declined in all four metro counties: Ozaukee at 21.4 percent,
Washington at 17.1 percent, Milwaukee at 6.7 percent and Waukesha at
All of the
counties also saw a decline in new home listings in June.
declined the most at 15.7 percent, followed by Milwaukee at 11
percent, Washington at 8.3 percent and Waukesha at 5.2 percent.
beginning of 2015, a span of 42 months, 29 months, or 69 percent,
had a decrease in homes listed for sale,” according to the report.
A positive for
home sellers is that home sale prices increased in the second
quarter in all four counties.
The sale price
of a home in Washington County rose by 14.5 percent from $228,794 in
2017 to $261,931 in 2018, a difference of $33,137. Homes in Ozaukee
County increased their worth by an average of 11.9 percent and went
from $316,843 to $354,452, or $37,609 more.
County, home prices went up by 3 percent from $317,570 to $327,182,
or $9,612 more. Finally in Milwaukee County, home sale prices
increased 5.2 percent from $175,731 to $184,902, a difference of
$9,171. Ruzicka said the increased cost of homes is “not surprising
considering the lack of inventory and the fast pace of sales.”