February 2024 Market Report 95864

Ladies and gentlemen, today we will be discussing the correlation between several key real estate metrics that are of utmost importance to both buyers and sellers in the market. By examining these metrics, we can gain valuable insights into the current state of the housing market and make informed decisions.

Let's start with the Months Supply of Inventory, which is currently at 0.93. This metric represents the number of months it would take to sell all the available homes on the market at the current pace of sales. A lower value indicates a seller's market, where demand exceeds supply. In this case, with a value below 1, it suggests a highly competitive market with limited inventory.

Next, we have the 12-Month Change in Months of Inventory, which stands at -9.71%. This metric measures the percentage change in the Months Supply of Inventory compared to the same period last year. A negative value indicates a decrease in inventory, further reinforcing the notion of a seller's market. This decline in inventory over the past year signifies a higher demand for homes.

Moving on, we come to the Median Days Homes are On the Market, which is currently at an impressively low figure of 10. This metric displays the average number of days it takes for a home to go under contract from the moment it is listed. A lower value here indicates a fast-paced market, where properties are being snatched up quickly. This suggests that buyers need to act swiftly to secure their desired homes.

Now, let's discuss the List to Sold Price Percentage, which stands at 101.2%. This metric represents the average percentage of the listing price that a home ultimately sells for. A value above 100% indicates that homes are selling for more than their asking price. This may be due to multiple offers or bidding wars, further emphasizing the competitiveness of the market.

Lastly, we have the Median Sold Price, which currently stands at $617,500. This metric represents the midpoint of all the sold prices for homes in the market. It gives us a sense of the overall price range and can be used as a reference point for both buyers and sellers. With a median price above the half-million mark, it indicates a higher-end market with desirable properties.

In summary, these real estate metrics reveal a strong correlation that paints a picture of a highly competitive seller's market. The low Months Supply of Inventory, declining inventory over the past year, and quick turnaround time for homes going under contract all showcase the high demand and limited supply. Additionally, the List to Sold Price Percentage above 100% and the median sold price of $617,500 indicate a market where buyers may need to be prepared to offer more to secure their desired properties.

For buyers, this means being proactive, well-prepared, and ready to make competitive offers. Sellers, on the other hand, can take advantage of the current market conditions to maximize their profits. Overall, understanding these real estate metrics is crucial for both buyers and sellers to navigate and succeed in the current housing market.