CHAMPAIGN, Ill. (WAND)- According to the Champaign County Association of REALTORS, home sales hit a record high during the month of October.
Realtors say home sales in Champaign County sold quickly in October due to the upswing in the demand for residential homes with a total of 286 residential home sales reported.
Reports show, that is a 4.38 percent increase over the 274 homes sold in October of 2020. Year-to-date sales through October of 2021 are on track to end the year ahead of last year’s total number as sales are up 8.49 percent ahead of 2020 totals.
The average number of days on the market is said to have declined and was reported at 34 days in October. According to realtors the inventory of homes for sale dated November 22, 2021 stood at 766 properties on the market, down from last month’s inventory total of 840 properties.
Reports also show new listings increased 5.2 percent in October over the same period in 2020.
$165,000 was the median home sale price in October for the Champaign County area, which realtors say is down 1.35 percent from $167,250 in October of 2020.
The median is a typical market price where half the homes sold for more and half for less.
On average, the home sale price in October was $207,714, which is up 11.47 percent from $188,127 in October one year ago.
“October sales were the highest on record for the month according to our Multiple Listing Service. Mortgage rates are hovering around 3 percent at this time and this is good news for buyers entering the market; although expectations are rates should continue to move upwards in the next few months,” said Stefanie Pratt, president of the Champaign County Association of REALTORS®. “As buyers race against the clock to beat higher mortgage rates, we expect inventory levels to continue to remain tight through the remainder of this year. Projections are 30-year fixed mortgage rates will reach 3.7 percent in 2022, and that will factor into affordability conditions for buyers.”
The pending home sales volume in Champaign County declined by 9.8 percent in October to 194 sales from 215 sales in October 2020, according to Midwest Real Estate Data LLC. Pending sales for the month of October reflect the total number of active listings that went under contract and are awaiting closing, usually 30 to 60 days in the future.
“As the year begins winding down, the feverish pace of home sales continues to hit records in the Champaign County market area, buoyed by strong demand, low interest rates and a slight uptick in new listings,” said Pratt. “Overall, the number of homes for sale continues to lag behind last year’s level, reflecting the mismatch of strong buyer demand and tightened seller activity levels. We are hopeful that we will see a greater balance of inventory levels in the coming months as more sellers ready their homes this winter to place on the market.”
According to the National Association of REALTORS® 2021 Profile of Home Buyers and Sellers, the typical first-time buyer is 33 years old. The report revealed the key factor for moving was the desire to live closer to family and friends, while the equally important motivator was the need for more space or a bigger home.
As a result, home buyers typically buy their homes for 100% of the seller’s asking price with another 35% purchasing their home for beyond the asking price.