Ok, first month of the year, and we have a couple trends that may be changing…
First, let’s take a look at the existing inventory:
Existing Inventory of Active, Under Contract, and Solds
You can see that the inventory is starting to build since last years’ low in December. The under contract number is finally headed back up too. Last year, we averaged around 60 properties under contract week to week, so while 42 isn’t burning the barn down, it beats the 30 or so we have had since Christmas.
Absorption Rate
We are right about where we were this time last year. The curve will be headed back up (lower is better) at the end of this month. This in the face of reduced inventory from most of last year.
I was looking at some Lady’s Island comps last week when I was struck by the number of withdrawn houses. These are houses that did not sell, went off the market, and so far have not been relisted. Most of them had been off the market for quite awhile, several months at least. Is this the shadow inventory we keep hearing about? Will they emrge and foreclosures here in the coming months? If so, they will reset the entire market even further down than it already is. Great if you are a buyer, but could be calamitous if you are selling.
There are ways around this. If you find yourself (or a friend is) ‘upside down’- that is you owe more on your house than what we could get on the market, and you need to sell, call me. I have some ideas for you.
All in all, it is still a strong buyers market, and will be for the foreseeable future. The first time buyer’s tax credit was extended, and there are now credits for the move up (or move down?) buyer. Call me for detais.
Thanks!
Filed under: Real Estate, Stats | Tagged: Beaufort, Homes, Scott Bingham, sellers, Stats | Leave a comment »
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