REALTORS REPORT ON NATIONAL ACTIVITY
Fewer resale homes for sale, declining affordability, appraisal issues and lender processing delays are the key issues affecting the level of national home sales, according to the latest Realtors Confidence Index Survey, a report produced by more than 50,000 Realtors across the country. This said, most professionals remain confident about the outlook for the housing market for the next six months across all property types. Most of the Realtors surveyed say that with home prices becoming less affordable they expect prices to moderate, growing at a slower pace of 3.3% in the next 12 months. Many reported that the tight inventory of existing homes on the market have led to multiple offers and price increases. This past July, 41% of those sold at or above the list price, up from 36% one year ago. The tight supply is making affordability a growing problem, especially here in Southwest Florida. While the Median family income level is up by 11% compared to the data for January 2012. the Median price of an existing home, nationwide, has risen by 62%. However, the survey concluded that homes are still generally affordable, but the gap between actual and qualifying income of first-time homebuyers has narrowed. As of the 2nd quarter of 2016, the National Association of Realtors estimates the Median income of first-time buyers is $44,703, only slightly above the qualifying income of $42,720. Top reasons for delays in closing transactions between buyers and sellers were due to issues related to obtaining financing (41%); appraisal issues (27%); home inspection or environmental issues (11%); and title or deed issues (10%).