This week, we’re looking back at the week of September 21-25 to analyze the residential real estate market in the Tri-Cities and surrounding areas. As always, keep in mind that these numbers are rounded averages and won’t be 100% exact, but they do give a great snapshot of the current market. All data was collected on the MLS (multiple listing service) for the Tri-City associations.
Last week, we had an average of 504 homes on the market, priced at $399,540. Of those, 229 were new construction, with an average listing price of $421,802. Average days on the market was 40.
What do these numbers mean? We saw a significant increase in available homes over the previous week, although we are still lower than we were all summer long. This is partially to be expected, as the market tends to slow down around fall. 504 is still a staggeringly low number of properties for a population of over 300,000. Our listed prices have stayed consistently higher than our summer averages, however, showing that prices are increasing as inventory decreases. Days on the market has also stayed steady at 40 days. The amount of new construction properties for sale has been gradually increasing, as has the listed price – and with new energy codes and rising lumber costs, we’re expecting to see these prices continuing to rise throughout the rest of the year.
There was an average of 1043 properties pending last week, with 415 new construction properties pending. The average listed price of pending homes was $332,766, with an average of 4 days on the market.
What do these numbers mean? The amount of pending properties has remained steady, even with recent inventory decreases, showing people are still buying and our market is still going strong. Like with listed properties, we saw an increase in the amount of pending new construction properties. With the above-mentioned cost increases, now is a better time than ever to buy new construction, as the price will continue to increase well into next year. Our pending listed price has also been steadily increasing, no doubt thanks to the rising listed prices. However, we still see that the pending listed price is significantly lower than the average listed price, showing that the homes that are selling are priced at a more competitive cost. The biggest change we saw last week was the days on the market, going from an average of 5 to 4. This means that homes are selling even faster than ever before, literally in a matter of days, and 20% faster than they were the prior week. If you’re a seller, that’s fantastic news, meaning your home will sell even faster than it already would have if it’s correctly priced. As a buyer, that means you have to be ready to see homes on the drop of a dime, because if you wait, the property you wanted to see may be pending before you get the chance.
Last week there was a total of 102 properties sold, for an average price of $380,102. 23 new construction properties sold, for an average price of $483,077.
What do these numbers mean? The amount of properties sold dropped slightly from the prior week; however, new construction sold has actually increased. As stated before, prices for new construction are only going to continue to increase, so now is the best time to build before prices continue to rise. Both the new construction and existing construction average prices increased significantly over the previous week, likely a reflection on the increased listing prices. As inventory continues to decrease, we’ll likely see prices increase, as less competition can lead to higher pricing.
So what does this all mean for you? As a seller, now is a better time than ever to sell your home! Increasing prices and decreasing inventory mean you can push your home to higher prices than before, with fewer properties competing. And, if you’re priced right, you won’t be waiting long at all for your home to go under contract – just four scant days. Are you interested in seeing what your home could be worth in today’s market? Contact us today for a free custom property valuation report!
As a buyer, the market is looking even trickier than before. Fewer properties on the market means you’ll have to search longer and harder to find your perfect property, and when you find it, you’ll have to act fast. Prices are increasing, but we’re currently seeing fantastic rates on loans – as low as 2.5% – so a slight increase shouldn’t scare you away. You’re going to need a skilled, aggressive agent – and you’re in luck, because we have those agents ready and eager to help you find a new home! As for new construction, with prices continuing to increase well into 2021, now is the best possible time to buy. New construction won’t be any cheaper tomorrow than it is today. Our new construction market is still booming, mostly unaffected by the drop in available inventory. If you’re thinking of building your dream home, contact our Builder’s Specialist today! We have several builders ready to build with lots available.