BETHLEHEM, Pa. - With local inventory up slightly in the past month, houses might be a little easier to find but not much easier to buy.
October data from the Greater Lehigh Valley Realtors shows inflation and the cost of borrowing money have cut into buyers’ ability to purchase homes.
The overall effect is a noticeable cooling of the local housing market, they said.
While previously the severe shortage of inventory of homes for sale in the Lehigh Valley fueled bidding wars and forced home prices to skyrocket, affordability is still the issue but for a different reason.
“Mortgage rates have doubled since March and home prices remain elevated due to a limited supply of homes, although price gains are slowing at a quickening pace,” said Justin Porembo, GLVR chief executive officer in a written statement.
GLVR provided additional monthly statistics, as well:
- New listings fell 17.5% to 698
- Pending sales were down 25.4% to 580
- Months supply of inventory went up 8.3% to 1.3 months
- Homes sold, on average, in 18 days, up two day from October 2021
GLVR President Howard Schaeffer, however, was optimistic.
"We're actually headed in a healthier direction."
Howard Schaeffer, president of Greater Lehigh Valley Realtors
““We talk about the housing market cooling, and many people want to assume we’re headed for a bubble and back to 2007-2008, but this is a different market, these are different circumstances, and we’re actually headed in a healthier direction,” Schaeffer said.