When it comes to real estate metrics, there are several key factors that buyers and sellers should keep in mind. Let's take a closer look at the correlation between these metrics and what they mean for the market.
Months of Inventory
The months supply of inventory currently stands at 3.27. This metric represents the number of months it would take to sell all the available homes on the market, given the current sales pace. A lower number indicates a seller's market, where demand exceeds supply, while a higher number suggests a buyer's market.
In relation to the 12-month change in months of inventory, we see a significant increase of 3.15%. This implies that the inventory of homes for sale has increased over the past year. It could indicate a slight shift towards a buyer's market, as the supply of homes has grown more quickly than the rate of sales.
Median Days Homes are on the Market
The median days homes are on the market is another crucial metric to consider. Currently, it takes around 34 days for homes to sell, on average. This figure gives us an idea of how quickly properties are being purchased. A shorter duration suggests a strong demand and a faster-paced market.
List to Sold Price Percentage
Next, let's look at the list to sold price percentage, which stands at 98.5%. This metric represents the percentage of the original listing price that homes are typically sold for. A higher percentage indicates that sellers are receiving offers close to their asking price, which is generally favorable for them. On the other hand, a lower percentage may suggest that sellers are accepting offers below their initial expectations.
Median Sold Price
Finally, we have the median sold price, which currently stands around $525,000. This metric represents the midpoint of all the home sale prices in a given area. It gives us an insight into the overall price range of properties being sold. Sellers can use this information to determine a competitive listing price, while buyers can gauge the affordability of homes in the market.
What Does it all Mean?
Now, let's tie these metrics together and see how they correlate. A lower months supply of inventory (3.27) combined with an increase in the 12-month change in months of inventory (+3.15%) suggests a market that is becoming more balanced between buyers and sellers. This is further supported by the median days homes are on the market (34), indicating a reasonably fast-paced market. Additionally, the list to sold price percentage (98.5%) indicates that sellers are achieving close to their asking prices, which implies a market with strong buyer demand.
Considering all these metrics, buyers can expect a market where homes may sell relatively quickly, but they should also be prepared to make competitive offers. Sellers, on the other hand, can take advantage of the favorable market conditions and potentially receive offers close to their asking price.
Overall, these real estate metrics paint a picture of a market that is relatively balanced but still favoring sellers. Both buyers and sellers should stay informed about these metrics to make informed decisions and navigate the market effectively.
If you're interested in more housing market statistics in Washington County, you can view them here.
If you have questions, you can reach me here or email me at dylan@boatright.com.
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