Here is my year end wrap up for the New Milford CT real estate market. I have compared sales volume and price from 2001 through 2011 to see where we came from and what has happened. It has been quite the ride, to say the least.
2011 did not go out with a bang, it crept out with a whisper as far as the real estate market is concerned. The sales volume is down from the previous year, as is the average sales price. I wish I could make some fantastic prognostication about the 2012 real estate market, however someone took my crystal ball.
2011 $306,176 207
2010 $337,896 221
2009 $307,886 195
2008 $377,674 209
2007 $406,790 280
2006 $417,420 310
2005 $408,816 442
2004 $381,974 495
2003 $343,850 438
2002 $309,569 397
2001 $284,508 434
I do have good news. Last January, 2011, I posted the real estate absorption rate for New Milford, CT. That tells us how long it would take us to sell the CURRENT inventory. (It does not, however, take into consideration any new listings that might come on the market.) A balanced market is 6 months worth of inventory. A buyers market is anything over 6 months, a sellers market is anything under 6 months. January of 2011 we had an absorption rate of 22 months. Currently we have an absorption rate of 8.5 months. In that respect things are looking up! I would rather see an 8.5 month absorption rate than a 22 month one! However, I assume that more homes will be coming on the market over the next few weeks, bringing the absorption rate back up again.
Out of the 207 homes that sold in New Milford, CT this past year, 25 were foreclosures. That is 12 percent of our real estate market. 12 show as short sales, however we really do not have a great way of tracking them at this time in our multiple listing service. At least 18% of the homes that sold in New Milford in 2011 were distressed homes of some type. This is a large amount, one we need to sit up and take notice of. This affects homes that are currently on the market, as well as the people who lost their homes either to the foreclosure or the short sale.
The reality is that it is very difficult for many people to put their home on the market at a price that will bring offers and sell the house. There are many reasons for this, most of them financial. Read about the Great Real Estate Divide here.
If you find yourself in that situation, if you need to sell but you owe more than your home is worth, you can read a very good Q&A on short sales. Then give us a call at 203.460.1775 to discuss the options of a short sale.
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