March 14, 2020 at 10:08am | Shauna Gut

I would like to take a poll. Please post on our Facebook Page  if you stocked up on toilet paper or not, and why? It’s an odd thought, but some say that toilet paper may be our new currency moving forward. Joking …. I hope! 


May the Luck of the Irish keep us in good health with a strong sense of community. Blessings and good vibes to all.



Median Sold Price Surpassed Previous Highs


Median Sold price skyrocketed $11,000 this month from last … now standing at $316,000. I am in the field, and seeing first hand our activity levels, it was INSANE out there!




Overall, February was fantastic in real estate. The story unfolds as one of multiple offers, due to limited inventory and a strong economic outlook. In February, the Number of Units sold was up 25% from last year (up 8.2% from last month!). The number of New Listings was down 4.8% from our inventory surge in January, but still up 4.6% since last year. We are seeing that buyers are excited to buy, eagerly engaging in multiple offer situations. This caused supply levels to shoot way down to only 1.7 months of inventory on hand. As a reminder, 3 months of inventory is considered a healthy market. But then, March ...



Are Listings Being Quarantined?


All that being said, it would be a meaningless report if we didn’t address some of the occurrences in early March. Traditionally, March  info would be in next month’s report, as we analyze the real estate market’s response to March events.


The scare of the coronavirus has sent our world into hysteria.  

Stocks plummeted on Black Monday March 9, as did our supply of toilet paper and water! Followed by even more stock turmoil in the following days. 

But, ironically, prior to, interest rates dipped to historically low levels. Levels so low that 1 out of 3 households could benefit from refinancing, and many homeowners acted swiftly to take advantage.


[Fun Fact] Did you know more loan applications were taken the week of 3/1 - 3/7 than the preceding 6 months at some larger lending institutions? 


The problem was that the window to refinance at unprecedented low rates was short…. only about 5 days. 

Soon following, the coronavirus effects were running rampant, causing rates to bounce and further declines in the stock market. 

Even as I write this, our economic state could easily adjust drastically to the positive or the negative. 

There’s no doubt that this will impact March’s real estate… and we’ll have to wait and see what transpires. 


Our prediction is that those buyers who were expecting to use their 401K’s or the likes for their home purchase funds, will have to wait some time before they are able to purchase. 

The homeowners who refinanced probably expect to stay in their current home, as opposed to moving. 

What may offset this, are those wanting to sell, anticipating drastic drops in home prices. 

Overall in March and into April, we expect to see lower inventory and lower purchasing levels than previous months. 

After February’s madness, that might take our real estate market to a more stable state, which is not a bad thing. 

Sellers, regardless of the current market, there are willing and able buyers out there. If the time is right for you to sell, proceed, just price your home at market value. 

Buyers: We recommend you stay within your comfortable budgets when purchasing. 


We believe the economy and market is in for a slow down over the next few months as we wain through COVID-19 virus scares, but in Las Vegas, nothing ever sleeps! 



Real Estate Market Highlights


Single-Family Home Stats

February

2020 vs 2019

Analysis

YoY = Year over Year

Median Sold Price

$316,000


Up 6.7% YoY


Median Sold price skyrocketed to $316,000. Up $11,000 from last month!


Number of Single-Family Homes Sold

2,471


Up 25.7% YoY

We sold 8.2% more homes in February than January ...

Number of New Listings

3,239


Down 4.8% YoY

… But only added 4.6% more new listings … 

Months on Hand / Months of Inventory

1.7 Months


Down 52.7% YoY

… Which translates to lower inventory levels. 1.7% is very low, and leans to a seller’s market.

*The month depicted in the statistics is February 2020. March stats will be available at the beginning of April 2020.

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