The residential sales market in Delaware shows a higher level of activity during the first half of this year.
The increase took place in all three counties of the state, with Sussex County seeing gains in both single-family homes and the townhouse-condominium market.
Other measurements;, including the average number of days homes remained on the market remained positive. (See accompanying chart).
A report from Patterson-Schwartz, the state’s largest residential real estate firm, showed double-digit increases in its market area in Delaware and adjacent areas.
Showing the strongest activity was Kent County, which saw a 25.1 percent increase in the number of sold homes in the first half when compared to the same period a year ago.
The median sales price was up 5.6 percent in the first half when compared to the comparable period last year.
According to Patterson-Schwarz, New Castle County posted a 15.2 percent first half increase in the number of sold homes when compared to the same period a year earlier and a 7.5 percent increase in the median price from 2014. Long & Foster, one of the three largest residential brokers in the state, reported a 17 percent gain in first half sales in an area that includes New Castle and Kent counties in Delaware; Cecil County, MD.; and Salem County, NJ
The higher sales trend continued into June according to figures from TREND, the multiple listing service with a service territory that includes Kent and New Castle counties.
TREND figures showed a 10.5 increase in home sales over the same month earlier, in New Castle County, with Kent up nearly 27 percent. The average price of homes was also up for the month.
Sussex County, which has a separate multiple listing system reported a strong second quarter.
In all, 2,049 homes were sold between January and June. This is a 49 percent increase over 2014 in number of homes sold, with properties also selling for an average of 20 percent more in terms of final settlement price, according to the Sussex County Association of Realtors. “During the warm summer months, it’s only fitting that the real estate market in Sussex County be described as ‘hot,’ ” says Fred Dean, 2015 president of SCAOR. “But not only is the current data indicating an extremely strong local market, but the number of sales that are currently pending indicate that this trend should continue at least into the third quarter, and probably beyond.”
In the first half of the year, the average three-bedroom home in the county is selling for a median price of $360,780. The surge was aided by the condominium and town home market.
In the first half, this segment saw growth rate of 61 percent over the same period a year ago.
“What we’re seeing in the condo and townhome market is a continued influx of new residents from other states who are enticed by the maintenance-free lifestyle this type of living can afford them, especially in their older years,” says Dean. “And we’re also witnessing builders catering to this demographic by constructing more units and selling them at attractive prices. This has definitely contributed to our positive real estate data.”
The association reported more than $511 million worth of real estate was sold in first six months of 2015, in the single family market, with more than $143 million in condo/townhome sales.
Mortgage rates remain low as speculation continues over the timing of the Federal Reserve Board’s move to move interest rates upward.
Lawrence Yun, National Association of Realtors chief economist, says’ “The steady pace of solid job creation seen now for over a year has given the housing market a boost this spring,” said Yun. “It’s very encouraging to now see a broad based recovery with all four major regions showing solid gains” from a year ago and new home sales also coming alive.”
