Just what is normal?

From the Delaware County Times:

Housing market declines
By SOLOMON D. LEACH

Delaware County’s home sales dropped 10 percent in the third quarter, but showed a smaller drop-off than neighboring counties as the housing market continued to slow down, according to a recent report. A total of 2,241 homes in the county were sold during the third quarter, compared to 2,492 in the third quarter of 2005, according to the HomExpert Market Report from Prudential Fox & Roach Realtors, which records all public transactions.

The 10 percent decline in Delaware County was modest compared to a 25.3-percent decrease in Bucks County and a 25.1-percent slide in Burlington County, N.J.

The report also indicates that homes remained on the market longer, with the average home in Delaware County staying on the market for 45 days during the third quarter, up from 34 days a year ago, another indication of the market’s slowing pace.

Meanwhile, the median or mid-range sale price in the county increased 1.7 percent to $213,500 from $210,000 during the same period last year.

Reiburn said the slowdown from 2004 and 2005 has created a more balanced market, which favors buyers. At the same time, he insisted that sellers are still making a decent profit. “It’s still a good real estate market, but the market could not sustain that type of (sales) increase year over year. We just couldn’t continue to do that,” he said.

Contrary to what many have said, Reiburn believes the housing bubble has not burst, but rather returned to a more traditional performance, which he expects to continue at least for the next quarter.

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38 Responses to Just what is normal?

  1. SAS says:

    ” 2004 and 2005 has created a more balanced market, which favors buyers”

    What? favors buyers? Where? What town?

    Even with the slight price drops this RE market is still way…..way overpriced. Yeah, I goto the fruit stand and the seller wants $10/lb for my comquots, I say no thanks, I will come back later because I know he won’t sell any at that price. Next day, I go back to the fruit stand. I now notice he lowered it to $9/lb.

    ohhh… goodie… thats a 10% price drop from the original price, but would you still buy comquots at $9/lb ? No you wouldn’t. Even with the 10% price drop, still way over valued.

    These talking heads will say anything to keep the party going.

    I feel sorry for Joe 6 pack. Looks like we have just created a new slave class.

    slave class = homeowner whom purchased in the past 3 years.

    time for my morning coffee with Horizon 1/2 & 1/2.

    Cheerio ;)
    SAS

  2. anon says:

    sas you forgot to mention that comquots were only a $1/lb a mere 5 months ago but for some strange reason prices spiraled out of control
    ( herd mentality ) not supply and demand
    30-40% of re sales were 2nd homes 04-05

    ” 2004 and 2005 has created a more balanced market, which favors buyers”

    you forgot “the slowdown from”

  3. anon says:

    jb
    what is a normal year in terms of volume?
    nationaly?
    nj?
    and if the amount of sales returns to normal when do they expect to work through the glut?

  4. anon says:

    i have to tell you the tide is turning in nj
    my father inlaw a realtor told my wife we are in good position.
    we sold our house in burlington county in june and are renting in nnj.
    2 days ago the father inlaw told my wife people who expect to see more price declines are fools they’ll be suprised when the market takes off again.

  5. FirstTime BuyerNotBuying says:

    Tell your father inlaw…. don’t bet the ranch on that prediction!
    But he’s a realtor so I understand….

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