What’s Selling – and What’s Not – in Easton MA in January 2012
On average, homes for sale in Easton MA in January 2012 are on the market for 162 days before they are sold. However, homes in some price ranges are taking a longer time to sell as compared to homes in other price ranges.
The absorption rate is the ability of the real estate market to absorb or sell all of the houses for sale in a given amount of time. That means it’s the rate at which available homes are sold in a specific real estate market during a given time period. In other words, the figure shows how many months it will take to exhaust the supply of homes on the market if no other homes were listed for sale.
The higher the absorption rate (or the less the number of days homes are on market), the higher the probability that the supply of available homes will shrink rapidly. When the absorption rate is high, a homeowner can sell his or her home for more money in a shorter period of time. When the absorption rate is low, a home buyer will have a larger inventory of homes to choose from, and may be able to buy a home for less money.
· 1 to 4 months supply of homes – has a high absorption rate. This is a Sellers’ Market.
· 5 to 6 months supply of homes – has a normal absorption rate. This is a Normal Market.
· 7 or more months supply of homes – has a low absorption rate. This is a Buyers’ Market.
Below is a chart of the number of days single family homes are on the market in Easton MA until sold:
As the graph shows, the following are the number of days the average home for sale in a given price range is on the market before sold:
- $150k - $200k: 131 days on market (Normal Market)
- $200k - $250k: 339 days on market (Buyer’s Market)
- $250k - $300k: 167 days on market (Normal Market)
- $300k - $400k: 85 days on market (Seller’s Market)
- $400k - $500k: 199 days on market (Buyer’s Market)
- $500k - $750k: 101 days on market (Normal Market)
- $750k - $1M: 110 days on market (Normal Market)
So what does all this mean?
A snapshot of the number of days homes are on the market in a given price range before sold (or the absorption rate) gives both home buyers and home sellers a better idea on how to negotiate the purchase or sale of a home in Easton MA.
If you’re looking to buy a home in the $300k - $400k price range, you may find that sellers aren’t negotiating as it’s taking less than 3 months on average to sell a home in this price range.
However, if you’re looking in the $250k - $250k price range or the $400k - $500k price range, you’ll find that it’s a buyer’s market, and you may be able to find some bargains in these price ranges -- and especially in the $200k - $250k price range.
If you’re looking in the $150k - $200k price range, the $250k - $300k price range or for homes selling above $500k, you’ll find that it’s a normal market for homes in these price ranges. Lowball offers won't cut it in a market like this, but sellers aren't in control of the market either. Both buyers and sellers should be reasonable when negotiating the purchase and sale of a home in these price ranges.
For more information about what’s selling and what’s not in the Easton MA real estate market, or if you any questions about the home buying or selling process, or if you're ready to buy or sell a home, please contact me.
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