February has been quite cold. In fact, it will go down as the coldest February in recorded history. We in the Northwoods are not the only ones shivering as the cold weather is pretty much everywhere east of the Mississippi.
The cold weather has had an effect on home sales too as only 38 homes sold in February. That is the lowest number in the last ten years and the lowest number I can find. That is a 24% drop from January. It is also a 56% drop from February. January/February of this year is off 38% from the first two months of 2013. Here is the mix:
14 Homes < $100K 1 Home $300K to $400K
12 Homes $100K to $200K 1 Home > $400K
10 Home $200K to $300K
So we are off to a less than impressive start. It is too early to get excited over a few soft months. Nationally, existing homes are off 2% so what we are experiencing may seem extreme. I believe that the weather is mostly to blame. It will be interesting to see what happens in the market when the weather finally warms up. It is my belief that the market will improve over 2013 and that home sales in the lower price ranges will strengthen.