Long & Foster Enters 2015 on a Strong Note
Long & Foster President and Chief Operating Officer, Jeff Detwiler, recently wrote the following letter discussing the positive economic developments of January 2015 which position agents and sellers for healthy spring market:
The housing market is off to a good start in 2015. A strong economy, as indicated by continued job growth, recently increasing wages, low rates and high consumer confidence, is providing a great foundation for our market. These fundamentals combined with ongoing home price appreciation and the recent decrease in gasoline prices have boosted consumer spending, specifically personal consumption expenditures, which in the last quarter of 2014 reached their highest growth levels since 2006. Not only are people investing more on goods and services, but also they feel more optimistic about the economy in general. And that’s good news—especially for the housing market.
Across much of the Mid-Atlantic and Northeast, last month brought year-over-year growth in unit sales and median prices. The story was similar at Long & Foster, where we enjoyed double-digit increases in both sales volume and units compared to this time last year. Our growth is credited to a number of factors, from the strong economy and consumer confidence to our company’s strategic acquisitions in 2014 and, of course, the continued hard work of our talented sales associates.
Below are details on how each of our individual businesses performed last month.
By the Numbers Wrap-up for January 2015
• Real Estate: Over $1.9 billion in sales volume, an 11 percent increase from January 2014
• Real Estate: 5,800 unit transactions, a 12 percent increase from January 2014
• Property Management: Created 83 new accounts and referred 30 of our current accounts to Long & Foster Real Estate sales agents for potential sales listing in the month of January
• Rental Service Center: Processed 1,704 applications and paid 487 rental cases, which includes placing a tenant, ratifying the lease and paying the leasing commission, in January
• Mortgage: 251 customers served, earning almost 20 percent of Long & Foster business
• Settlement Services: 728 customers served, earning over 44 percent of Long & Foster business
• Insurance: 159 new policies issued, earning nearly 10 percent of Long & Foster business
Several of our regions also enjoyed noteworthy growth in monthly sales volume, as highlighted below.
• The new Coastal region, which includes our offices along the coast from the New Jersey shore to the Eastern Shore of Maryland, enjoyed a 92 percent rise in sales volume.
• The Richmond region, which includes our new Charlottesville locations, experienced a significant 82 percent jump in year-over-year sales volume.
• The new Pennsylvania/New Jersey/Delaware region, which includes the expanded Philadelphia market, as well as the surrounding suburbs in New Jersey and Delaware, enjoyed a 73 percent rise in sales volume compared to January 2014.
Our team at Prosperity Home Mortgage also enjoyed a boost in sales, thanks to last month’s mini-refinance boom. Interest rates dropped to their lowest levels since June 2013, and that drove many homeowners to refinance their loans and take advantage of lower monthly payments.