While U.S. Existing Home Sales are Declining, Kansas City is Showcasing a Different Trend

Despite the U.S. economy experiencing one of its best six-month stretches in a decade and the unemployment rate reaching historic lows, the Wall Street Journal reported this week that U.S. existing home sales are declining, and have been for eight straight months.

“The slowdown has been driven by places that had earlier seen some of the strongest price growth during this recovery, including Seattle, Denver, New York City, Boston and the Bay Area,” the WSJ wrote.

Kansas City, on the other hand, whistles a different tune. According to the Kansas City Area Association of Realtors’ October update, the Kansas City housing market continues to grow. Below is a breakdown of the October update:

  • Closed Sales increased 2.2 percent for existing homes and 2.2 for new homes
  • Pending Sales increased 0.3 percent for existing homes, but did decrease 29.7 percent for new homes
  • Inventory decreased 1.8 percent for existing homes, but increased 4.3 percent for new homes
  • The Median Sales Price was up 7.8 percent to $190,000 for existing homes and 3.5 percent to $371,127 for new homes
  • Days on Market decreased 10.6 percent for existing homes and 15.8 percent for new homes
  • Supply decreased 4.3 percent for existing homes and 1.7 percent for new homes

So, where does commercial real estate stand then?

While the Kansas City housing market continues to grow, the commercial real estate market is following a similar trend. In November, Ingram’s hosted a commercial real estate assembly. Participants evaluated the current status of the commercial real estate sector, where the market will go next, and what’s at stake for tenants, landlords and investors. For a full assembly report, check out our story here.