Realtor confidence in the market stayed strong in July, with both confidence indexes maintained by the Massachusetts Association of Realtors (MAR) up in July compared with last year, the group reported today.
The results of the July "Hot Topic" question show, that despite the lack of homes to buy and increasing prices, first-time homebuyer activity is increasing.
"July marks the 24th straight month that Realtors members who responded to our monthly survey felt strongly about the strength of the market and prices compared to the year before," 2013 MAR President Kimberly Allard-Moccia, broker-owner of Century21 Professionals in Braintree, said in a statement. "This confidence comes directly from the attitudes of their buyer and seller clients, and it is continuing to trend upward."
In July 2013, the Realtor Market Confidence Index (RMCI) was 71.09, which was up 23 percent from the July 2012 score of 57.63. This is the sixth straight month the RMCI has been over the 70-point mark. On a month-to-month basis, the July RMCI was down seven percent from the 76.4 score in June 2013.
The Realtor Price Confidence Index (RPCI) was 72.27 in July, up 11 percent from the July 2012 RPCI of 65.00. This is the 18th straight month of year-over-year increases and the fifth straight month over the 70-point mark. On a month-to-month basis, the RPCI was down four percent from the June 2013 RPCI of 75.
"First-time homebuyers who have been waiting to enter the market are making the decision that ‘now’ is the time," Allard-Moccia said in a statement.
MAR also polled its members on how the lack of homes for sale and increasing prices has impacted first-time homebuyer activity. Forty-three percent of respondents reported that they saw either a significant increase (5.5 percent) or an increase (37.5 percent) in first-time homebuyer activity. Thirty-four percent reported no change in first-time homebuyer activity, while 23 percent reported seeing a decrease (21 percent) or a significant decrease (2 percent) in first-time homebuyer activity.
