Sioux Falls, SD (KELO AM) – New home sales for the month of May dropped by 1.8% in Sioux Falls but analysts still think the market in the area is sturdy.
The number show 1,112 homes sold in Sioux Falls last month, compared to 1132 in May of ’15. Many surrounding towns including Brandon, Tea, Lennox, and Dell Rapids saw their home sales drop by as much as 20%. The only community that increased their home sales was Harrisburg, where 73 houses moved compared to 72 last year.
Despite that decline the numbers are considered sturdy due to the supply of homes being stretched thin. Low mortgage rates and strong incomes were also a factor.
Buyers paid more for homes in May compared to 2015’s numbers. The average selling price of a home in the Sioux Falls area was $180,000, compared to $170,606 one year ago. It was also a good month for home sellers, who saw their properties move for 98.9% of the asking price.
You can hear more on these numbers on Monday, June 6th during KELO Radio’s It’s Your Business with Bill Zortman.