Real Estate Update
ó In October 2013, the median price decreased from $255,000 to $253,500. The median is still 34.1% higher than one year ago.
ó The median price decreased for the first time since January 2012. Although it was a small drop, it marks a significant point in the market. We have been seeing a shift in the market over the past few months and now it’s starting to show up in the stats. The market is slowly shifting towards a buyers market this winter as inventory is slowly increasing and buyer demand is a little lower.
ó The available housing inventory is up to 1.9 months. I expect to see that number slowly increase as we go through the winter. A “normal” or “balanced market” is between 4 to 5 months.
ó The homes that are priced right, show well and have a high quality marketing plan are still getting sold but the buying frenzy has stopped since interest rates jumped up at the beginning of June. I am starting to see price reductions and listings sit that are over priced.
ó High Demand and Low Supply/Inventory has driven the market prices up in 2013. The market is finally beginning to find a balance and seller’s power of the past 1.5 years is shifting to be more equal this winter.