One of our favorite questions to be asked is "how is the market?" And the answer is always- "it depends!"
In gearing up for 2016, I find it beneficial to look at our market statistics in review. Our associations posts statistics monthly on several trends in our local market. The local market includes all real estate listed on the MLS in Yavapai County. The statistics include number of listings, listing price (list price and sold price), absorption rate, sold to list ratio, days on market. These stats are broken down further and compared over the course of the year to show percentage changes. If you would like a copy of the complete analysis I can send it to you just email me at firstname.lastname@example.org.
I personally like the reader's digest version of information. 2016 looks like it will be increasingly be turning tides in the favor of the home seller.
First let's look at absorption rate (the number of months it would take to sell all currently listed homes on the market). This stat had the most significant change from 2014. Currently our absorption rate is around 4 months. Last year is was around five months. This is a 25% change in speed of absorption. And why does that matter? First it matters to sellers. Typically an agent will give you a price range where they think you can sell your home successfully. With an absorption rate decreasing, you may be able to sell your home at the upper end of your range. Home buyers, this matters to you as well, prices may be on the rise, you may wish to place your offer accordingly.
Another statistic that I found promising for home sellers was the average list price has increased about 10 percent from last year. That coupled with the fact that on average home's are commanding about 94% of their asking price is a great sign that we are seeing a steady increase in prices. (Around 4.6%)
Considering a move? When should you list your home? Again, you need to evaluate the goals for your home sale. If you want to sell your home quickly, the best months last year based on lowest days on market occurred in February followed by June, July and August. (There was a sharp increase in September) Now if your goal is to get the most money for your home, based on sold to list price ratio, selling from April-August (high point in June) would be a good target.
Based on market competition, the earlier in the spring, the fewer homes on the market. We saw a fairly steady climb from Feb to June. June being the peak of number of homes on the market.
Listing and sold prices steadily increased from February through May and tapered through the summer months. For those looking to sell your best bets are a spring sale. If you are a buyer and are budget minded, you may want to consider a fall or winter sale. However, if you are very selective, the spring market will have more homes to chose from.
In summation, I would recommend that you consider listing your home in either February or April to have the best shot at the market. February if you want to avoid the steep competition of the spring or summer months or April if you are bringing your "A" game. Buyers keep in mind that what is positive for a seller, will mean more sacrifices on your end- either financially or competitively.
Considering making a move or just curious if your home value has increased? I would be happy to provide you with a an analysis of your homes current value. Call or text 928 830 8282, email us at email@example.com. We would be happy to help!