As we start the fourth and final quarter of 2011, let's see how home sales this year compare to home sales last year. Raise your hand if you think sales are up. Now, take a look at the chart.
If your hand is down then you are right about home sales. So far through the third quarter the total number of residential sales is lower than it was in 2010.
"There have been approximately 10% fewer homes sold this year compared to the same time last year."
In fact only two months -January and September- of 2011 had a higher number of home sales than 2010. According to the data the The Real Estate Center at Texas A&M gathers from the Beaumont MLS, there is currently a 12.3 month supply of inventory on the market.
The number of homes for sale in Southeast Texas - also know as the amount of inventory- has been above 8 months since April 2009. Its been in double digits since Feb. 2010. Most experts would agree a 6-8 month supply of homes on the market is a fair and balanced market. More than that tips the scale to the side of buyers. Less than that tips the scale to the side of sellers.
Interestingly enough the median sales price has not gone down even though inventory is up.
- September 2010 Median Sales Price = $121,000
- September 2011 Median Sales Price = $123,800
What is the take away from all of this? To put it in plain words, the market is complicated right now. Fewer homes are selling but the pristine ones still are selling and selling at close to asking price.
- For buyers: Don't assume every seller will come down 10% off their asking price. There's more to it that than. You need to know how well the home is priced to begin with.
- For sellers: Plan to get your home in great shape before it goes on the market. Coldwell Banker Southern Homes has a free home enhancement guide that will help you maximize your sales price and shorten your time on the market.
If you have more questions about the Southeast Texas residential housing market contact me. Having a professional, local REALTOR on your side is one of the smartest decisions you will make when it comes to buying or selling a home.