ROCKFORD -- The housing recovery in Rockford continues at a robust pace according to Rockford area realtors. They report that 232 properties were sold in January, up 7.4% from the previous year, and the most homes sold in January in six years. However, the numbers also indicate sales have a way to go to reach pre-recession levels, as 351 homes were sold in January of 2007.
The realtors' survey found the three month average home sales price was up from $94,371 in 2012 to $99,173 this past January. "After five grueling years, Americans are finally feeling optimistic about the housing market," commented Steve Bois, CEO of Rockford Area Realtors in a news release. "Home sales were up 18.7 percent from 2011 to 2012, the first year-over-year increase since the U.S. housing bubble burst in 2007. January continues that trend."
As sales increase, the number of homes for sale has been decreasing. Local housing inventory fell to 1,897, a level not seen since January of 2004.
"There is one major challenge that could stall the housing market, that is a lack of inventory," Bois remarked. "Housing sales are expected to be buoyed by move-up sellers and first-time homebuyers. Without adequate inventory and selection of homes in all price ranges, demand from these two key homebuyer segments may be discouraged."