A Shift in the Upper-End Market? – August Real Estate Stats
The Montrose Colorado real estate market is continuing to follow a national trend of tapering prices and diminishing inventory. The month of August experienced an 18% drop in the number of homes sold for reasons unknown. But given the steadily shrinking inventory levels throughout the previous 8 months of 2019, and the chart comparison from August of 2018, this downward slope in home sales may be the new norm. Total homes sales are down 5.5% from January through August of this year.
On a positive note, the average list to sale price ratio is nearing 1.78% of full asking price. This is great for sellers looking to capitalize on the strong seller’s market. After reviewing the most recent saturation rates in varying price ranges, a noteworthy shift can be observed in the $400-500K price range, which has transitioned from a buyer’s market to a seller’s market. This is a newer development in the saturation and housing inventory numbers. Time will reveal if the shift in this upper-end price range is here to stay.
$100-200K price range: 2.5 month supply
$200-300k price range: 3 month supply
$300-400k price range: 3.7 month supply
$400-500k price range: 4 Month supply
$500k-600K price range: 10.2 month supply
According to the National Association of Realtors, a healthy market (an equal number of buyers and sellers) is considered 6-months supply.
The national market is still experiencing flattening sales as the number of homes sold increased by a dismal 0.6% from the same time last year. Obvious reasons of price gains and low inventory are the contributing factors. The median home price in July was $280,800, up 4.3% from July of 2018. Inventory supply held near 4.2 months. The current reduction in mortgage rates are opening opportunities for some previously marginalized buyers as the lower interest rates contribute to a lower monthly payment. The 30-year fixed conventional mortgage rates are currently as low as 3.62% (Existing-Home Sales Climb 2.5% in July).
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Statistics gathered from CREN MLS, criteria are all residential not including mobile or manufactured housing in Montrose. Copyright 2019 Keller Williams Colorado West Realty, LLC. If you have a brokerage relationship with another agency, this is not intended as a solicitation. Equal opportunity housing provider. Each office is independently owned and operated. For sale by owner data not included in research findings. Sales data reflects sales from homes not limited to the Atha Team LLC. This information was gathered from Keller Williams, The National Association of Realtors, CoreLogic data analysis firm, Montrose Association of Realtors, CMU Department of Business and Economics, and the Mortgage Brokers Association. This data is considered accurate, but is not guaranteed. Copyright Atha Team LLC 2019. All Rights Reserved.