With cooler temps each Fall come higher sales numbers. Each year we see about a 25% increase in the number of sales versus the summer months. It’s pretty obvious with the majority of homes being occupied and unable to be viewed.
We also know that most buyers of second/investment homes will consider the purchase for anywhere from 6 months to 24 months before actually writing an offer. So it’s not uncommon for our summertime guests who decide to invest to re-visit in the fall and winter to purchase.
There are two main things I want to focus on in this update. First is the status of things now. Second, is the difference that 10 years and a very big cycle can make.
Status of the market right now:
(This info is for home sales only and compares September 2015 to September 2014)
- The number of homes sold is up 11%
- Average sales price is down 2%
- Median sales price is up 4%
- The number of homes in active inventory is down 11%
The bottom line? More homes are selling, prices remain the same and inventory is just now starting to go down. These are all very good signs for our market. This is an important step in the process to getting back to a normal, growing market. The process will still take a few years, but it’s good to be on the right track.
The reason this is so important is because we all remember still how good it was in 2004 and 2005 when prices were at their peak. We also have to remember these cycles don’t happen overnight. The impact of the market crash was tremendous. It will take a very long time to fully recover from it.
Consider the difference 10 years makes:
(This data compares the calendar year 2004 to 2014 for home sales only)
- We sold 749 FEWER homes in 2014
- We sold $589 million LESS in Volume in 2014
- The average sale is 26% LOWER than it was in 2004
- Median sale price is DOWN 28% from 2004
- Days on Market – are up MORE than 2 months
Those are some pretty major differences. All in all what you need to know is if you’re ready to buy, prices and interest rates are definitely in your favor. If you’re thinking of selling, the market is very active and we can get the job done.
The last few listings I took sold in less than 30 days. When you price it right, it will sell.
