This report provides the Days on Market Statistics for San Antonio, TX for Jan-Aug 2009.
One of the questions often asked by buyers of their agents is, "How long has this house been on the market?" This is a fairly simple bit of data to obtain. However, this one data point should be used in conjunction with other factors to give a more complete picture regarding the property being considered.
The amount of time a house remains on the market is based on almost exclusively on Motivation (2) or Motivation squared. Stated another way, the motivation of the seller times the motivation of the buyer. If the seller and the buyer are motivated to getting a deal done, it can happen quickly. However, if only one of the parties is motivated, it will take longer, or may not happen at all.
It will come as no surprise to most that Price is one of the biggest motivators in real estate transactions. The motivations of the buyer and seller are usually at odds initially. The seller wants as much as can be obtained from the transaction and the buyer wants to pay only as much as it will take to get the property.
The market statistics for San Antonio show the results for the Days on Market, but they do not provide information as to why certain homes sell quickly, and other remain on the market for extended periods of time. If you have an interest in a home that has been on the market for some time, ask your realtor to give you their opinion as to why the house has not sold.
Since I am asked frequently about Days on Market for homes in the San Antonio area, I took a look at our area results for 2009. I usually do this on a neighbrhood or subdivision basis. The following charts contain results for the area as reported by the San Antonio Board of Realtors(SABOR) for 2009.
Here are the 2009 Days on Market results:
During the first quarter of 2009, about 35% of the houses on the market were sold within the first sixty days after listing. That perentage is depicted in the blue and red sections of the chart.
Another 35% took over 120 days. In some cases, many of these were sold well over 120 days after being on the market.
Average Days on Market is not instructive as an indicator of problems with a house. If a seller is committed to a price, and has no external pressure to sell, they may be content to leave a house on the market for a longer period than average.
Something really changed in the second quarter. The percentage of houses sold during the first sixty days on market increased to about 44%. I attribute part of this to buyers and their agents recognition of good buying opportunities in foreclosures, short sales, and perhaps better pricing decisions by sellers.
Houses on the market over 120 days accounted for about 30% of the total sales.
July and August saw a continuation of over 40% of the houses being sold being under contract within the first sixty days of listing. It is interesting to note that about 26% of the available houses were on the market over 120 days before reaching contract phase.
Remember, the Days on Market is more an indicator of market activity than it is of the value or attractiveness of any house on the market. Some homes sell quickly, and some take a long time to get sold. The saleability of a home is based on several factors. These factors can include:
- Price
- Location
- Condition of the home
- School District
- Tax Rates
- Proximity to ameneties
I will update the San Antonio Days on Market Report as the monthly results become available.
The statistics are deemed to be reliable, but should be verified.
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