According to data released today by Realtor.com, the number of homes for sale fell by 17% year-over-year in October. And instead of rising prices, the real estate website says that prices have remained flat.
The data from Realtor.com, which is owned by Move Inc. (NASDAQ: MOVE), is somewhat out of line with other real-estate firms. Trulia Inc. (NYSE: TRLA), for example, notes that October prices rose 2.9% in October, according to a report at USA Today.
Realtor.com notes a 60% drop in homes for sale in the Sacramento, Calif., area, but a rise in short sales and conventional sales. Sales of foreclosed properties fell by 66% year-over-year, as the inventory of foreclosed properties is being cleared out. Still, the median price rose 9% month-over-month and 14.6% year-over-year, according to the area’s Realtors, and the mean price rose 3.2% month-over-month and 15.7% year-over-year.
Sales of foreclosed properties have dropped sharply in most areas of the country as buyers, especially investment buyers paying cash for the properties with the intent of creating rentals, have come out of the woodwork. Increases in short sales, however, are keeping price increases moderate. At least that is how it looks from here.
Paul Ausick
Top Gaining Stocks
Top Losing Stocks