What is happening in the Evergreen and Conifer Market?
Welcome to another post about what is going on in our mountain community real estate market. The chart below is raw data regarding the average sale price on the right in black and number of homes currently active listings in green (for that month).
The story it tells is sort of interesting. If you look at year over year for March, April, May, June and July, it tells a story that contradicts what should actually happen. The number of homes listed is nearly half of what they were in 2013 in the same months in 2014. Common sense and business 101 dealing with supply and demand would tell you the average sale price for that month should be higher. Unfortunately that seems to not be the case. This is not good news for sellers or buyers. The news for the sellers is your home is not selling for what it would have last year. It tells the buyers there isn’t as much inventory to chose from. Some buyers are getting a bit discouraged and giving up on looking.
This is sending a mixed message to all parties in the transaction. It is telling the sellers it is a seller’s market since there isn’t a lot of inventory. Wait though because this downward trend of average sale price is telling buyers it is still a buyer’s market. So who is correct? Both and neither. It is telling us that sellers are dropping their price as well as holding onto their homes until prices increase. It is also telling us that buyers are not willing to over pay for their homes either. The market, as a whole is not willing to inflate the prices as it did in ’06,’07 and ’08.
If you have any questions about what is going on with the real estate market or the value of a specific property please give me a call.
As usual please do not consider this real estate or legal advise. It is just the the thought of an Evergreen Realtor.