Real Estate Market is Talking to Us
by Pete Belcastro. The market is talking! Are we listening? Are we ready to act? I ask these questions as the latest SOMLS real estate statistics indicate movement strong enough to warrant a closer look. We’ve been predicting 2015 is going to be a big real estate year. New construction is coming back strong. Baby Boomers are retiring and the Rogue Valley is a hot spot for them. Farmers of all types are seeking rural lands to bring back a more local flare for food. To prove this, pending sales in January 2015 are up 47% from a year ago 260 vs 140. New listings, however, are down 8% in the same period to 208. Other information show available homes per buyer is down 31% to 6.3; while the inventory supply is down 43% from a year ago to 4.2 months worth of inventory. In a supply and demand world that real estate is — that means its a sellers market. Guests on “The Real Estate Show” tell us there are a lot of buyers looking for properties but cannot find them. A sellers market means current sellers are getting most of their asking price. Until listings rebound to at least a six month inventory then sellers remain in strong position. By the way if you think selling in spring is better than winter, think about this. According to the NAR, 38% of homes listed in WINTER sold within 30 days and 14 % sold for more than the list price. So many people believe spring is a better time to sell, yet, 39% of home listed in spring in the past five years went in contract within 30 days and 15% sold for more than the list price. That’s only a 1% difference. Make a wise decision on the time to list your property. The market is talking, now seems to be that time.