John L. Scott reports record March real estate sales

John L. Scott Real Estate Chairman and CEO, J. Lennox Scott, announced today that March was the most productive month in the company’s 74-year history. “We’re on the back side of a power surge that resulted from rising interest rates,” said Scott referring to the gradual increase in interest rates that has been felt since February. Scott added that whenever interest rates rise, buyers flood the market in the hopes of securing the lowest rate possible, causing a power surge of sales.

Scott also credits local job growth and a historically active housing market for the record-setting month. Furthermore, low housing inventory has led to increased competition and multiple offers, causing a “quick action market,” said Scott.

With rates slowly on the rise, the National Association of Realtors anticipates a slowing of the housing market in the coming months, but states that it will still be a historically strong year overall. David Lereah, NAR’s chief economist, said home sales are starting to ease to more sustainable levels. “After setting four consecutive record years, the housing market is due for a breather,” said Lereah. “As mortgage interest rates creep up and home sales slow a bit, we should see a better balance between home buyers and sellers.”