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CHAMPAIGN — Home sales in Champaign County continued to increase in April compared to the previous year, as did sale prices.

According to the Champaign County Association of Realtors, 272 homes were sold in April, up from 263 the year-ago April.

Year-to-date, 848 homes have been sold, up 12.6 percent from 753 through April a year ago. Meanwhile, the median home sale price in Champaign County was $170,500 in April, up nearly 8 percent from $158,500 a year ago.

“April home sales continued at a fast pace as buyers compete for a reduction of properties on the market as compared to last year,” said Liz McDonald, president of the local real estate association. “During this busy spring market, multiple offer situations are even driving sale prices above the asking price.”

McDonald said the market shows no signs of slowing in the coming months, as demand remains high and inventory limited.

“The demand for existing housing remains high for now, while construction of new homes has slowed as builders struggle with shortages of labor and construction materials,” she said.

The average 30-year fixed rate mortgage was 3.03 percent in April, down from 3.3 percent a year ago, according to the Federal Home Loan Mortgage Corporation.

Mortgage rates could increase with inflation, McDonald said.

“We must keep a watchful eye on inflationary conditions which may push interest rates higher,” she said.

“Higher mortgage rates could slow the pace of home sales and price growth, but the expectations are that housing market activity will continue to remain healthy.”

Reporter

Ben Zigterman is a reporter covering business at The News-Gazette. His email is bzigterman@news-gazette.com, and you can follow him on Twitter (@bzigterman).

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