So if there are twice as many homes on the market, how long will it take to sell mine?
July 19th, 2007 - Categories: Buying a home in the Dothan area, Dothan area Real Estate Market information, Inside the numbers, Selling a home in the Dothan area
By: Charles Woodall
Managing Broker
http://www.dothanhomesearch.com
In the market update for June, I talked about the number of homes on the market in the Dothan area being up about 50% in the past twelve months. When you look further back, the number has nearly doubled in less than 24 months. Average time on the market has increased during this period by about three weeks, up to 121 days.
It is interesting to expand on the averages a bit and look at how the increased inventory is effecting marketing time in certain price ranges. I’ll pick four price ranges and compare the market time for 2007 year-to-date against the same time period in 2006. Keep in mind that our median price in the Dothan real estate market for 2007 year-to-date is around $135,500, and the numbers I am using are final sales price numbers, not listing price.
Here are the price ranges we will be analyzing:
– $60,000 to $90,000
– $110,000 to $135,000
– $150,000 to $180,000
– $250,000 and $300,000
$60,000 to $90,000
Units sold, Jan - June, 2006 - 116 with average days on market (DOM) of 96 days
Units sold, Jan - June, 2007 - 99, average DOM of 104 days
$110,000 to $135,000
Units sold, Jan - June 2006 - 123, average DOM of 101 days
Units sold, Jan - June 2007 - 97, average DOM of 105 days
$150,000 to $180,000
Units sold, Jan - June 2006 - 100, average DOM of 112 days
Units sold, Jan - June 2007 - 102, average DOM of 127 days
$250,000 to $300,000
Units sold, Jan - June 2006 - 36, average DOM of 96 days
Units sold, Jan - June 2007 - 43, average DOM of 146 days
What conclusions can we draw from this data? While the number of homes sold in the lower price ranges (below median) has dropped, the average days on the market has stayed about the same. In other words, if you have a home for sale in this price range, chances are you won’t see any longer marketing time compared to what your neighbor had back last year. In the upper price ranges (above median), the opposite seems to be the case. Sales numbers for 2007 are actually above last year, but the market time has increased significantly. So if your home is listed at a price over $250,000, be ready for it to take a little longer to sell.
If you would like an analysis similar to this for a specific price range, just let me know. I would be happy to put something together.
Possibly Related Posts
- Days on market is irrelevant
- Fall is here. See you in the spring?
- Pending Home Sales Continue to Fall in Dothan
This entry was posted on Thursday, July 19th, 2007 at 4:50 am and is filed under Buying a home in the Dothan area, Dothan area Real Estate Market information, Inside the numbers, Selling a home in the Dothan area. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
