Did home values recover from last month or are they continuing to relax from their highpoint earlier this year?
The buzzword for this month continues to be “inventory” but the inventory story has changed.
We’re now seeing 7 weeks of available inventory, the highest we’ve seen all year. That’s actually good news for homebuyers, which we haven't actually been able to say for awhile. Buyers naturally want to have choices, and in many neighborhoods across the metro area homebuyers have more choices now than they’ve had in the last four years. That does mean that homes are spending more time on market, however.
We recently spoke with an agent who said her client loved the home she had just shown to her buyer but they had several other homes on their list they wanted to see before making a decision. That tell us that buyers aren’t feeling the sense of urgency they had been, when choosing the right home for them.
Interestingly, we saw the number of new listings hitting the market increase last month.
But, the number of homes going under contract decreased, contributing to rising inventory levels. The count of active listings of homes for sale continued to increase.
In August, the number of active listings reached north of 8,300, 4% higher than last month...
...and 30% higher than this time last year!
In August, over 5,400 homes sold, 5% lower than last year and flat as compared to last month. Year to date, sales are only 1% lower than this time last year.
There was also a decrease in the number of homes going under contract. Throughout the month, contracts were placed on approximately 5,300 homes, a 3% decrease from last month.
The $300,000-400,000 price range continues to have the most home sales and new listings.
It’s interesting to see the how the average days on market correlates to list price.
In August, the time that it took homes to garner an accepted offer is also up a couple of days to 33 average days on market, 4 days more than last month and 2 days more than this time last year.
The big news is that average home prices saw a decrease for the second consecutive month in August, down an additional 1% from July which was down about 2% from the previous month.
There is a clear silver lining in all this news that it’s important not to lose sight of and that is that the average sold price for single family homes is up a whopping 9% since this time last year from about $432,000 to over $473,000!
The average homeowner just made almost $40,000 just by owning a home! That’s still outstanding news and it’s important to keep that perspective as home values relax from their high point that traditionally occurs in any given year in the spring months!
If you’d like more information about the current status of the real estate market in your area and would like to talk to one of our professionals, please reach out today.