Single family January-April 2011
This year is not off to quite the start we saw at the beginning of 2010. While the number of closings this year is very close to last year (6 vs 7), there were also 6 pending sales last year compared to 1 this year. The average sale price has dipped slightly, going from $459,642 to $455,500, while price per square ft. is up to $159 from $150. Homes are taking about a month longer to sell, up from 131 average days on the market to 162. However, the time from the last price change to an accepted offer is only 60 days, suggesting a house priced correctly will likely sell far more quickly. Below is a detailed look at sold and pending single family homes through April according to the MLS.
2011 Hyper Local Market Study | ||||||||
Jed Hohlbein Middleton Hills | ||||||||
Address | First Price | Last Price | Sold Price | SP/FP | SP/LP | Cum. Days on Market | # Days From Last Price Change Until Offer | |
3322 Glacier Ridge Rd | 445,000 | 389,000 | 380,000 | 85% | 98% | 289 | 57 | |
6740 Aldo Leopold Way | 424,900 | 424,900 | 390,000 | 92% | 92% | 123 | NA | |
6929 Ramsey Rd | 475,000 | 425,000 | 413,000 | 87% | 97% | 191 | 16 | |
6725 Gaylord Nelson Rd | 515,000 | 499,875 | 475,000 | 92% | 95% | 169 | 98 | |
6809 Erdman Blvd | 574,000 | 559,000 | 520,000 | 91% | 93% | 78 | 16 | |
3310 Prairie Glade Rd | 575,000 | 550,000 | 555,000 | 97% | 101% | 123 | 114 | |
Average Total | $501,483 | $474,629 | $455,500 | 91% | 96% | 162 | 60 | |
*pending | 3314 Glacier Ridge Rd | 545,000 | 495,000 | NA | NA | NA | 223 | 60 |
What we can see here is that sellers are getting about 90% of what they are initially asking for their homes. Only once it has been on the market for several months have they realized that the asking price is too high and reduced to a price buyers are willing to pay, suggested by the average sale price being 96% of the list price. Digging a little deeper it is easy to see why some were reluctant to lower their price. While those who have owned in the neighborhood since the early 2000s are still coming out well ahead, those who bought in the middle of the decade are likely going to be taking a loss. The average loss on the three bought between 2005-2007 was about $16,000. The estimated average annual return (based on tax information) for the two bought in 2001 and 2002 was 5%.
*
I would like to point out that the sample size for the data on gains and losses comparing homes bought in the early part of the decade to those bought in the middle and more recently is quite small. It should not be considered as conclusive evidence that all homes bought more recently have lost value. I will post again soon with some numbers I've been looking at from last year to gain some more insight.
Current Listings
Address | Price | First Price | CDOM | Price/Fin Sq Ft. |
6960 Apprentice Pl | $364,900 | $380,000 | 276 | $170.67 |
6963 Apprentice Pl | $375,000 | $429,900 | 319 | $162.13 |
6916 Frank Loyd Wright | $395,000 | $395,000 | 34 | $138.84 |
3728 Pheasant Branch | $542,000 | $699,000 | 458 | $152.76 |
3722 Pheasant Branch | $629,900 | $735,000 | 451 | $146.76 |
6912 Ramsey Rd | $750,000 | $750,000 | 71 | $177.01 |
AVG | AVG | AVG | AVG | |
$509,466 | $564,817 | 268 | $157 |
Currently there are 6 single family homes for sale in Middleton Hills. Four out of the six have been on the market for close to or over a year. However, with price reductions over that time, the average cost per square foot is now more in line with recently sold homes. Does this mean more sales are around the corner? Check back again soon as I will be updating any new activity.
This comment has been removed by the author.
ReplyDelete