Across the US, home sales in December 2019 dropped more than the usual seasonal reduction in sales.
Home sales dropped an average of 6.4% from November.
According to both the National Association of REALTORS and a CNBC article, the drop was unusually large, as sales generally vary monthly in the very low single digit averages.
It is a strange drop especially since interest rates dropped, which often spurs activity in otherwise slower months.
The supply of home available rose 3%, which also often generates home sales, because buyers have more homes from which to choose.
As Lawrence Yun, head economist for the National Association of REALTORS said, the government shutdown cannot be to blame, because closings that happen in December tend to have had agreed contracts in October or November.
The government shutdown will most likely show in February and March home sales, according to economists, so we do expect to see numbers lower than usual average in the coming months.
My hope is that we will not have another shutdown, and the Baltimore real estate market can rebound along with the rest of the US real estate market.
For more information on your Baltimore house value, please contact me. I would be happy to help!