KCRAR's Local Market Updates provide a closer look at the current market conditions within the Kansas City metro area. Whether you're a buyer or seller, visit our Better Living Blog each month to stay updated on the recent trends.
KCRAR Monthly Indicator Analysis
As was widely expected, the Federal Reserve did not change the target range for the federal funds rate – currently set at 2.25 to 2.5 percent – during their June meeting. Although the economy is still performing well due to factors such as low unemployment and solid retail sales, uncertainty remains regarding trade tensions, slowed manufacturing and meek business investments.
In terms of relative balance between buyer and seller interests, residential real estate markets across the country are performing well within an economic expansion that will become the longest in U.S. history in July. However, there are signs of a slowing economy. The Federal Reserve considers 2.0 percent a healthy inflation rate, but the U.S. is expected to remain below that this year. The Fed has received pressure from the White House to cut rates in order to spur further economic activity, and the possibility of a rate reduction in 2019 is definitely in play following a string of increases over the last several years.
Existing Homes Overview
Closed sales decreased 5.3%
Pending sales increased 1.5%
Average sale price increased 5.5% to $245,806
Median sales price increased 9.5% to $219,950
Percent of original price received decreased 0.3%
Days on market decreased 8.8%
Inventory decreased 10.9%
Supply decreased 8.7%
New Homes Overview
Closed sales decreased 17.6%
Pending sales decreased 9.4%
Average sales price increased 4.9% to $414,620
Median sales price remained flat at $365,000
Percent of original price received decreased 0.8%
Days on market increased 24.8%
Inventory decreased 1.1%
Supply increased 9.3%
Report provided by Kansas City Regional Association of REALTORS®. All data from Heartland Multiple Listing Service.