Closed sales of houses in the Lehigh Valley took a dramatic drop of 11.4 percent in July to 714, compared to 806 in July 2015, according to figures released by the Greater Lehigh Valley Realtors (GLVR).

The July downturn reverses a three-month increase in closed sales and an increase each month this year, with only March posting a decrease.

For the year-to-date, closed sales are up 8.6 percent to 4,432 from 4,080 in 2015.

Pending sales of houses increased 13.4 percent in July to 795 from 701 in July 2015.

For the year-to-date, pending sales increased 10.5 percent to 5,083, compared to 4,599 for 2015, the GLVR reported.

Days on the market decreased 9.8 percent in July, the same percentage as for June, to 55 days compared to 61 days in July 2015.

Months supply tumbled yet again, falling 42.3 percent in July, similar to the 42 percent drop in June, to 4.5 months, compared to 7.8 months in July 2015.

Inventory fell 36.3 percent in July, similar to the 34.9 percent drop in June, to 2,990 from 4,694 units in July 2015.

New listings continued to decrease, down 16.9 percent in July, not quite as much as the 24.9 percent decrease in June, to 1,080 from 1,299 in July 2015.

The problem of low housing supply was again a cause for concern as it has been for nearly all of 2016 with many areas falling behind last year’s closed sales totals simply because of the lack of inventory, according to the GLVR.

“Buyers in the [Lehigh] Valley are now faced with a real estate reality that they haven’t seen in awhile. They need to move fast in order to get that home they want, and they may have to pay more for it,” explained GLVR CEO Justin Porembo.

“Based on the strong numbers we’re seeing, it seems like it’s a reality they are financially prepared for,” Porembo added.

Prices continued to gain traction as the Median Sales Price rose 2.2 percent in July to $186,000, compared to $182,000 in July 2015.

The average sales price slipped 0.9 percent in July to $211,788, down from $213,752 in July 2015.

The percentage of list price received was relatively stable, up 0.6 percent in July to 97.5 percent from 96.9 percent in July 2015.

The affordability index decreased 0.5 percent in July, compared to July 2015.

“We love to see this trend of gradually rising home prices, but the key word is ‘gradually’,” Chris Raad, GLVR President, pointed out.

“While increasing prices generally convince more homeowners to sell their homes, there comes a point where if the prices get too high they actually cause hesitancy among potential sellers who worry that they will not be able to buy a desirable and reasonably priced home once they sell. Slow and steady is key, and I’m happy to say that’s where our market is at today,” said Raad.

Closed sales of houses in the Lehigh Valley increased 3.7 percent in June to 858, compared to 827 in June 2015.

Closed sales of houses in the Lehigh Valley increased 14.9 percent in May to 681, compared to 629 in May 2015.

Closed sales of houses in the Lehigh Valley increased 15.5 percent in April to 617, compared to 534 in April 2015.

Closed sales of houses in the Lehigh Valley decreased 4.6 percent in March to 520, compared to 545 in March 2015.

Closed sales of houses in the Lehigh Valley increased 23.8 percent in February to 437 from 353 in February 2015.

Closed sales of houses in the Lehigh Valley increased 14.4 percent in January to 445 from 389 in January 2015.

In Carbon County, inventory followed the trend and was down 29.1 percent in July to 411 units, while new listings also dropped 23.3 percent in July to 92 and days on market slid 30.7 percent in July to 88 days.

The monthly housing data is collected by the GLVR from its Multiple Listing Service, a comprehensive database that includes housing market information from its more than 2,000 Realtor members.

The GLVR is a not-for-profit trade association providing professional development and training resources, competitive market information, legislative advocacy, a peer review and mediation process for members, and a dispute resolution service for consumers.

The GLVR owns and operates the Greater Lehigh Valley Multiple Listing Service, the Greater Lehigh Valley Real Estate Academy and is publisher of Greater Lehigh Valley Real Estate Weekly.

Information: GreaterLehighValleyRealtors.com