Contact: Mike Ruzicka
414.870.1876
July 22, 2010 – Spurred by the federal tax credits for first-time and move-up buyers, the real estate market in Greater Milwaukee saw stronger sales in most all price points in the first six months of the year, according to housing statistics produced by Metro MLS, Inc. and analyzed by the GMAR.
A comparison of home sales in the first two quarters of each of the last 4-years shows that sales fell precipitously after the subprime bubble burst in July of 2007, but that the tax-credit helped boost sales in 2010.
In the price range between $100,000 and $139,000 the 2010 market actually surpassed 2007. With prices down approximately 25%, buyers in this range probably purchased a home worth between $133,000 and $185,000, in a more normal real estate market.
Brokers expected to see a significant increase in sales for property under $250,000 – the market segment most often populated with first-time buyers – but the fact that sales were above 2008 in all price points above $250,000 was encouraging.
Sales under $100,000 were very strong in both 2009 and 2010, due to an influx of investors buying property to rehabilitate and re-sell or as rental property.
Since the beginning of the 3rd quarter, many brokers have reported that activity on their listings in the form of calls, e-mails, web and open house traffic is down, which was anticipated after the expiration of the credits on April 30th.
For the rest of the year, as long as the economy continues to stabilize, the market conditions that are present in Southeastern Wisconsin (consisting of extremely favorable interest rates, low house prices, and ample inventory) should remains a favorable market for buyers.
In these confusing times, buyers and sellers should remember to “Start With A REALTOR®” before consulting with a lender or other housing professional.
The Greater Milwaukee Association of REALTORS® is a 4,000-member strong professional organization dedicated to providing information, services and products to its members to ‘help them help their clients’ in buying and selling real estate.
