By James T. Hammond
jhammond@scbiznews.com
Published Dec. 11, 2009

Greenville homes sales in November were up 40% over November 2008, to 581 residences, despite a slight decrease from monthly figures from the summer and early fall.

While sales remain off the peaks of 2-3 years ago, the stability is nonetheless good news for a residential real estate market that was sliding deep into recession a year ago.

“We are finally seeing a stable market as evidenced by a number of factors:  a drop in the days on market, a drop in the number of active listings, a drop in the year-to-date decrease in units sold, and a 40% increase in the figures from November 2008 to November 2009,” said Nick Sabatine, CEO of the Greater Greenville Association of Realtors.

“I look for this gradual increase to continue through 2010,” Sabatine said.  “The ($8,000) first-time home buyer tax credit has helped.”

Sales have rebounded from the low point last January of just over 300 homes, to plateau around the 600-residence mark since 2009’s peak of 673 homes sold in June.

Unit sales were 596 in October, 597 in September, 607 in August, and 589 in July.

The median price of homes being sold today is down substantially from a year ago, to $132,000, from $155,000 in November 2008.

Dan Joyner, president of Prudential C. Dan Joyner Realtors, said November continued a trend of four strong months for his company, and that November was “exceptional,” with $57 million in sales compared with $47 million in November 2008.

Joyner said his company sold two half-million-dollar homes in November, compared with historical levels of 5-7 such homes a month.

“We’re seeing some encouraging signs,” Joyner said. He recently returned from a national conference where he said mortgage bankers, federal officials and real estate executives agreed on expectations of 10% to 20% growth in residential home sales in 2010.

“No doubt the extension of the tax credit will make a difference,” Joyner said.

The stability in the residential real estate market comes amid positive signs that the global and U.S. economy are on the rebound. Economists have declared the recession to be over, albeit with a tepid jobs climate, as the economy posted positive growth in the third quarter.

International trade volumes are rebounding at a rapid rate, the unmistakable signs of a global economic expansion, according to Robert Bach, chief economist with Grubb & Ellis.

“Since bottoming in April, U.S. exports have risen by 12.4% through October thanks in part to the weak dollar, which has made domestically produced goods more affordable for our trading partners. Investment-based exports consisting of capital goods and industrial supplies were up a combined 3.2% in October, led by aircraft, computer equipment, chemicals and precious metals. Import volumes are up 13% from their trough in May, a sign that domestic demand is recovering,” Bach said.

“The growth in trade means that more goods are flowing through corporate supply chains, which will support demand for warehouse/distribution space. Moreover, the growing demand for U.S. exports is boosting the manufacturing sector, which will support demand for manufacturing and general industrial space,” Bach added.