December 2019 Monthly Real Estate Market Report
For most of us, our homes are our largest asset --so you are right to want to understand this asset and the market you are in.
Happy Holidays from our Elite Home Finders family and into your homes. We wish you a very happy and prosperous New Year!
Trending Steady as we move into the New Year
In October we saw a pretty drastic increase in Median Sold Price, to $310,000, up $5,000 from September 2019. In November and December, we saw a slight (expected) correction, and we are currently holding strong with a steady Median Sold Price of $307,000.
At this point, we are seeing a lot of consistency within our Real Estate Market. Our Median Sold Price is the same as last month; our Units Listed and Units Sold (for Single Family Homes) is down slightly, but in line with one another, and consistent to years past. As boring as it is, I love to see little movement. It means we are on a great path as we move into the future.
Time on Market
As 2019 has progressed, we are seeing a consistent trend with Days on Market, that is, the number of days a home is on the market before an offer is accepted.
This month, we see that 51.4% of homes accept an offer within the first 30 days. Just one year ago, 60.3% of homes accepted an offer within the first 30 days. In just one year, approximately 10% fewer homes accepted offers in the 1st 30 days.
And on the opposite spectrum, we currently have 8.4% of homes on the market over 120 days. Last year only 4.3% sat without offer for over 120 days.
Why is this? As with anything, there are usually a number of reasons…. Here are a couple of top reasons in my humble opinion.
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Over Pricing -- Our current over-pricing index is at 71%, with the average amount of over-pricing nearly $45,000! It’s no wonder why so many homes are sitting without offer. We suggest you review your market comparables with your agent, to agree upon a listing price.
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Hesitant Buyers -- With the talk of an upcoming recession looming, buyers are hesitant to make a move… to make THE move. However, economists continue to suggest that when the recession comes, it will be mild and be over quickly. And our research suggests there will NOT be a housing crisis on top of a recession, as we experienced over a decade ago. It is important for both buyers and sellers to understand that our real estate market is in a great place, with an optimistic outlook. Of course, we suggest talking with your financial advisor before making any decision, but we see the real estate market as a solid investment for years to come.
Real Estate Market Highlights
|
Single-Family Home Stats |
November 2019 vs. 2018 |
Analysis |
|
Median Sold Price |
$307,000 Up 4.1% YoY |
Exactly the same as last month, also holding steady is the 4.1% increase from last year. |
|
Number of Single-Family Homes Sold |
2,407 Up 5.0% YoY |
Number of SFR homes sold was down 17% from last month, but up 5.0% from last year. |
|
Months on Hand / Months of Inventory |
2.7 Months Down 11.2% YoY |
Down 11.2% from last year, we are still hovering around that 3 month mark, and in a stable real estate market. We are up just a tad from last month’s 2.5% month’s on hand. |
|
Number of New Listings |
2,652 Down 17.7% YoY |
The Number of New Listings is in its yearly dip, down about 25% since October. As 2019 comes to a close, the number of new listings is expected to continue to decline, creating higher demand and a higher probability for listed homes to sell. And then, in January 2020, we’ll see a sharp rise in New Listings, increasing supply and decreasing demand levels. |
*The month depicted in the statistics is November 2019. The month of December is still in progress and upon its completion, December stats will be made available in January’s report.
