June, 2011, Wichita, KS metro area housing report

Housing Activity Report for the Wichita, KS Metro area
for the 1st 5 months of 2011.

The South Central Kansas MLS serving the Wichita, KS metro area reported sales data this week for May and the 1st 5 months of 2011.

Existing homes sales only increased one sale (633 units) from April to May of 2011. This, however, was a decrease of over 25% on a year over year basis. We must realize that spring sales in 2010 were heavily affected by the “Up to $8,000” Tax credit offered last year. July sales in 2010 compared to 2011 will give us a much better idea how we are doing once the Tax credit is not a factor.

The average sales price in May was up over April by 10+% but was still 3.6% below last year’s level.

A breakdown of May sales of the 683 units showed that 275 or 40% were below $100,000, 292 or 43% were between $100,000 and $200,000 and only 17% were above $201,000. 25% of the sales were cash, 34% of the sales were conventional loans, 27% were FHA loans and only 6% of the loans were VA backed.

YTD sales for 2011 were below 2009 YTD levels by 7% and a considerable 34% below 2008 YTD sales. The summer of 2008 was when the massive aircraft worker layoffs started in the Wichita area. Over 15,000 workers lost their jobs in the next two years.

New listings added to the market in 2011 are actually 12 % less than 2010 (5,715 new listings compared to 6,506 in 2010). Total listing available for sale at the end of May 2011 was 4,210 properties. This is a 8% increase over 2010 and their 3,889 homes.

New home sales were 50 units higher than April, 2011 but YTD totals wee 17% below 2010 levels and 50% below 2008 levels.

Interest rates at the 2nd week of June were holding steady. 30 year fixed rate loans were in the 4.5% range, FHA/VA loans for 30 years were slightly lower at 4.25%. 15 year fixed rate loans were in 3.5% to 3.625% range. A 5/1 adjustable loan was being quoted at 3,25% (fixed for 5 years). This is a great loan for someone who was only going to be in their home or the Wichita area for les than 5-6 years.

The average price YTD of existing sales was $117,795. A client received, on average, 95.80% of their last asking price. This does not take into consideration on concessions paid by the seller for the buyer’s benefit.

The average price of all new homes sold in 2011 was $255,895.

As always, call “SHORTY” at 316-554-2831 or 800-779-SOLD for up to the minute loan and housing information. You can also email us at shorty@realtor-shorty.com and visit us on the web at www.move2ks.com.