I was mistaken last month when I said that I did not believe that we would get above the century mark in October. 115 homes were sold in Vilas and Oneida Counties in October. That is the most homes sold since 122 homes sold in 2008. It is the sixth month in a row of over 100 homes being sold. That has not been done since 2008 either.
The red line represents the homes sold in the counties. One can clearly see the summer months rising above the cold weather months. 1454 homes have been sold thus far in 2012. This compares with 1232 homes sold in this same period in 2011, 1244 in 2010 and 1101 in 2009. Home sales are up 18% in 2012 vs. 2011. All of this is good news for the market.
Why are the prices not yet rising? Excellent question; I cannot tell you that I have a definitive answer. My theory here is that there are still many sellers that have to sell. They have life changes and must sell. There are bank owned properties. We have not had many but approximately 12% of sales have been bank owned or short sales. Buyers have been very price conscious and have been bargaining hard for the best value. This has resulted in increased volume but at the expense of the sellers.
When will it change? Other areas of the country are experiencing a shortage of inventory. When this happens here in the Northwoods is when we can expect prices to start rising. Until that time, it is still a very strong buyers’ market.