Let’s take a closer look at the current real estate market trends to better understand your place in the market.
First, let’s start with the Months Supply of Inventory, which is currently at 0.55. This metric indicates how many months it would take to sell all the available homes on the market at the current pace of sales. A low months supply of inventory typically indicates a seller’s market, where demand exceeds supply. A healthy market has 3 months of inventory. This is bad news for buyers, since low inventory typically means more competition among the pool of buyers in the area. That spills over into the rental market as well. Buyers who give up or are priced out by fluctuating interest rates flood the rental market, so there’s a huge tenant pool competing for an equally small inventory.
Next, we have the 12-Month Change in Months of Inventory, which is showing a significant decrease of -49.07%. This indicates that the market has become more competitive over the past year, with homes selling at a faster rate. Here we’re seeing a downward trend over the past year in housing inventory that lead to the above number. Since Covid though, The lowest inventory has been right about where we are now. That seems to be the bottom of the market.
The Median Days Homes are On the Market is 42, which is relatively low and suggests that homes are selling quickly. This could be due to high demand and low inventory levels. Homes are selling quickly, but if you dig deeper, you’ll see a few standouts that have long time-on-market, usually higher priced homes, niche properties, rehabs, etc.
The Sold to List Price Percentage is 98.6%, which means that on average, homes are selling very close to their listing price. This shows that sellers are able to command strong offers in this market. By and large sellers can dictate terms to a point, since buyers are forced to compete for a very limited number of houses.
Finally, the Median Sold Price is $587,000, which gives us an idea of the average price of homes that are selling in the current market. This can help both buyers and sellers understand the overall pricing trends in the area.
Overall, these metrics suggest that the real estate market is currently very competitive, with low inventory levels, inflated buyer and tenant pools and homes selling quickly at close to their listing prices. Buyers and tenants may need to act fast and be prepared to make strong offers, while sellers and Landlords may benefit from the current market conditions to sell their homes at a favorable price.
Have Fun!
Lew McConkey, Realtor/Notary
Brook Realty, Serving Whitman Hanson & Surrounding Towns
(781)252-9789
If you have questions about your place in the current Real Estate market, as a buyer, seller or Landlord, please feel free to call text or email for your free, no obligation consultation.