We left the market update a little late this month. Many of you are probably too preoccupied with carving pumpkins, hoarding candy, or helping your (grand)kids put the finishing touches on their costumes, to be thinking much about real estate. Normally at this time of year we're beginning to think about putting together our business plan for the new year. Not this year. This year the market is still going strong!
Let's take a look at the numbers and see what we can learn from them. Year-to-date 2015 (Jan. 1 to Oct. 15) there have been 569 listing contract entered into for single family homes in the Alberni Valley, and 271 sales. The median sale price is $193,000 and the average days on the market is 84 days. For the same period last year there were 542 listings and 208 sales. The median sale price was $203,000 and the average days on the market was 101 days.
Looking at September 2015, there were 54 homes listed for sale and 31 sales! The average days on the market was 128 days. In September 2014, there were 52 homes listed for sale and 28 sales, while the average days on the market was 133 days.
A couple of things jump out at me as a Realtor when looking at these stats. The first is that the average days on the market was much longer for the homes that sold in September (128), than for the average for the year (84). The reason for this has a lot to do with the cycles in the real estate market. There is a widespread misconception that the spring is the best time of year to list your home for sale. As a result there is a huge surge is listing activity in the spring. As the summer comes and goes, much of that inventory sells through, and there is far less on the market in the fall. But, people keep right on buying, right through the fall and winter, so what they end up buying are homes that have been listed for several months. This is why the fall is the best time of year to list your home for sale!
The other thing that jumps out at me is the ratio of homes sold to homes listed. In 2014 you statistical chance of selling your home was 38%. That is just over a 1 in 3 chance. This year your chance of selling has jumped to 48% which is much closer to a 1 in 2 chance. In other words the market is improving!
Thanks for reading this market update blog. If you have any question or comments please leave the in the comments section below. We hope you enjoy the last day of October!