After some good news in December, we have some less than good news from January. Home sales in Vilas and Oneida Counties dropped to 42 units in the month. That is the lowest level since last January.
I was optimistic after a stronger than expected 4th quarter that we would see some carryover into 2011. January may in fact be an anomaly. 42 home sales is disappointing but I suppose I should not be surprised. When one looks at previous January’s, we see sales roughly at 50% of the warm weather months. Only 35 homes were sold in January of 2010, 41 in February and 44 in March. In 2009, there were 58, 40, and 50 homes sold in January, February, and March. I would not expect 2011 home sales to be significantly different from these. There is a lot of cold and snow, which we enjoy, but it does affect home sales.
There seems to be a lot of showing activity for early February. The market segments being shown seem to be in the sub $200K markets. Hopefully, we will get some more showing activity in the other markets as well. Interest rates remain low, inventory levels are good and there are motivated sellers out there. Competitively priced homes are getting multiple offers. I still remain optimistic that 2011 will be stronger than 2009 or 2010.
Jim Mulleady – Broker
Coldwell Banker Mulleady REALTORS