The number of residential home sales decreased 35% in November from a year ago as transactions dropped below the 1,000 mark for the first time since before the pandemic (January 2020). November sales were 947 compared to 1,447 last year. Single-family home sales declined 34% with 888 sales in November compared to 1,349 sales last year. Townhouses/condos dropped 40% with 59 sales compared to 98 in 2021. Townhouses/condos made up around 6% of the total market in November.
The rise in interest rates has continued to affect the real estate market as home sales experienced a slump going into the fourth quarter of the year. But the rate increase has not yet had the same impact on home prices.
Median home prices pushed again to a new all-time monthly high in October reaching $235,000, up 4% over last year when the median was $226,000. October marked the 44th consecutive month of year-over-year price appreciation. The October median price was, however, 3% lower than the previous month as prices start to relax toward the end of the year. Single-family home prices stood at $239,000 while townhouse/condo prices were $210,000.
Housing inventory has risen every month since the first quarter of 2022 with
September reporting the highest inventory levels since prior to the pandemic. September saw the number of
homes on the market jump to 3,188, a 6% increase over last year’s 3,015.
Months of inventory has remained above the 2-month mark for three consecutive months and has risen since early spring. In September, the months of inventory hit 2.4, a 20% jump from last year when it stood at 2.
The housing industry is one of the most sensitive markets to Federal Reserve policy changes, especially the interest rate. For the first time since the start of the pandemic, home sales slipped, year-over-year in consecutive months. Home sales were down 14% in August from a year ago as sales topped out at 1,419 in 2022 compared to 1,646 in August 2021.
Single-family home sales declined 13% with 1,333 sales in August compared to 1,534 sales last year. Townhouses/condos dropped 23% with 86 sales compared to 112 in 2021. Townhouses/condos made up over 6% of the total market in August.
Housing inventory in the region has been increasing in recent months, even before the current rise in interest rates. The number of homes on the market rose 8% in May to 2,346, up from 2,158 homes last year. Unsold inventory rose to 1.5 months in May, a 7% increase over last year when it was 1.4 months but even with the previous month.
Despite the uptick in inventory, homes are still selling faster than last year. Properties remained on the market for 21 days in May, down from 28 days in 2021 and 25 days in April.
The overall housing inventory jumped in April reaching 2,085 available residential properties on the market, an increase of 3% over the 2,025 properties available last year.
Unsold inventory dropped to 1.3 months in April, a 7% drop over last year when it was 1.4 months. New real estate listings in Central and Southern Kentucky kept the months of inventory suppressed. New listings to the market were down 6% compared to a year ago, with 1,808 residential properties came online this year versus 1,916 last year, but up 3% when compared to the 1,757 new listings from March.
The 2022 Housing Fair and Expo, hosted by the Lexington-Bluegrass Association of Realtors® (Bluegrass REALTORS®), will take place on Saturday, May 21 from 10am – 2pm. Bluegrass REALTORS® is excited to partner with LFUCG and the Office of Housing, Advocacy and Community Development to bring the public an event that will provide the information needed to understand and navigate the real estate market in Central and Southern Kentucky.
New real estate listings in Central and Southern Kentucky rose to the highest level since September of last year. The 1,703 listings recorded for March were the most for the month since 2017 and were up 18% over last year’s 1,442. Compared to the previous month, new listings jumped 42%.
With the increase in new listings, the overall housing inventory jumped in March, year-over-year, for the first time in six months, reaching 1,540 available residential properties on the market, a bump of 15% over the 1,177 properties available last March when inventory was at an all-time low.
