There is good news to report about the Crofton real estate market!
Statistics released by MRIS, the regional multiple listing system for this area, indicate that homes took less time to sell in October 2007 than they did in the same month last year. Days on Market were down 11.54% to 69.
Additionally, 42 homes sold in the 21114 zipcode last month - 7.69% more than October 2006. Take a look at these charts:
All the news wasn't good - the average sold price was down 14.48% to $327,400 from $382,846 in October of 2006. Unless you bought in the past year or two, it simply means your profit would be less to sell than if you had sold a year ago. However, if you did purchase your home in the past two or three years, it could mean that selling your home for enough to cover your mortgage will be tough.
Here are some additional Crofton real estate statistics that might interest you:
- Average Median Sold Price - $300,450, Down 12.91% from $345,000
- Average List Price for Sold Properties - $346,445, Down 14.10% from $403,326
- Average Sale Price as a Percentage of Average List Price - 94.5%, compared to 94.92% last year.
Absorption Rate may be that one "key" statistic that will help predict the market for the next few months: How many months will it take to sell the current inventory of homes (if no new ones are listed), based upon the number of homes sold this month?
The following graph shows the number of sold properties and the total inventory of homes for sale, each month. This is the information I use to estimate the absorption rate:
In October 2007, 42 listings sold out of the 173 on the market. This is a 4.12 month inventory, or a 24% absorption rate. Just for the sake of comparison, let's look at the absorption rate in Crofton for the previous three months:
- September - 16%
- August - 23%
- July - 27%
If you're thinking about selling your home, what does all this mean to you?
Frankly, it means you should find an agent who "gets" the importance of these statistics, since you'll be relying upon your agent to advise you about pricing. While these charts are helpful, they are very general - based upon the entire zipcode. You will need to know this information for homes in your own Crofton neighborhood.
Bottom line: While the Crofton real estate market isn't great, we're doing a lot better here than most other areas of the country. During the next few days, I will complete real estate market studies for other nearby areas in Anne Arundel County including Odenton, Gambrills, Davidsonville, and Crownsville. As they are completed and posted on my other blog, I will insert links so you can see them, as well.
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Find a Home and learn about Real Estate Market Conditions in Crofton and Anne Arundel County, Maryland. Check out Today's Rates, use the free Mortgage Calculator, and watch a brief video about the Power of RE/MAX. These consumer-friendly real estate tools are provided by Margaret Woda for you to use at your own pace.
When you're ready to go from "just browsing" to "let's get serious", contact Margaret online or call her at RE/MAX Vision in Crofton Maryland. 410-451-1900
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