Home sales improve but still trail ’07 numbers

By Alex Gary

BusinessRockford.com

Local Realtors sold 455 houses in May, a more than 30 percent increase from April, but still the fewest May sales since 1999.

The increase from April was from “increased activity among first-time home buyers,” said Steve Bois, executive director of Rockford Area Realtors, in a news release.

It was the largest month-to-month increase since May 2007. In hopes of jump-starting the market, the Realtors association started a marketing campaign in April aimed at educating buyers that now is the time to buy.

Still, the May sales were more than 27 percent lower than 2007’s May total of 624 homes sold. And sales for the year are more than 34 percent behind 2007’s pace through May.

The average sale price slipped as well. The association released the rolling average of $138,193, the average sale price through May, more than 3 percent below May 2007, $142,778.

Nationally as well as locally, sales are well off 2007 levels because of a slowdown in sales stemming from rising foreclosures and tighter lending standards.

Assistant Business Editor Alex Gary may be reached at agary@rrstar.com or at 815-987-1339.