STATEN ISLAND, N.Y. — The booming U.S. economy continues to prop up home sales and new listingsin much of the nation, although housing affordability remains a concern.
Historically, housing is still relatively affordable. Although Freddie Mac recently reported that the 30-year fixed rate is at its highest average in seven years, reaching 4.94 percent, average rates were 5.97 percent 10 years ago, 6.78 percent 20 years ago, and 10.39 percent 30 years ago.
Nevertheless, affordability concerns are causing a slowdown in home price growth in some markets, while price reductions are becoming more common.
STATEN ISLAND MARKET
New Listings on Staten Island increased 10.2 percent to 453.
Pending Sales were down 15.3 percent to 288. Inventory levels rose 6.9 percent to 1,914 units. Prices continued to gain traction.
The Median Sales Price increased 8.5 percentto $575,000. Days on Market was up 12.5 percent to 81 days.
Buyers felt empowered as Months Supply of Inventory was up 10.4 percent to 5.2 months.
The Bureau of Labor Statistics recently reported that the national unemployment rate was at 3.7 percent. Low unemployment has helped the housing industry during this extensive period of U.S. economic prosperity.
Home buying and selling activity relies on gainful employment. It also relies on demand, and builders are showing caution by breaking ground on fewer single family home construction projects in the face of rising mortgage rates and fewer showings.