Reno/Sparks Homes and Real Estate Market Report March 2012

Reno/Sparks Homes and Real Estate Report, All the information you need!                         

March 2012 sales are the second highest in the history of the MLS and were exceeded by the boom year in 2005.

Although the volume of bank owned listings has declined, they have been replaced by traditional or equity sellers in the market. This trend may be caused by investors who are seeing Reno/Sparks entering a seller's market and see this as an opportune time to sell.

Reno/Sparks Median Home Sales Price

• March 2012 median home price was up 3.4% to $149,950 compared to $145,000 in February 2012 and down 6.3% from the March 2011.
• Median price is defined as the mid-point, where, for the time period identified, the price for one-half of the sales are higher and one-half are lower.

Reno/Sparks Number of Homes Sold

• March ended the month with 524 sold transactions, up 12.9% from the prior month.
• Sales are up 2.5% from the same period last year.

Average Days on Market (DOM)

• The average days on market are 145 days, up 10.3% from February 2012.
• Short sales continue to influence the average days on market at 219 DOM

Reno/Sparks New Listings

• 591 new listings were taken in March compared to 519 in February, a 13.9% increase and a 17.9% decrease from March 2011.
• In price ranges under $200,000, 44% of the listings are identified as distressed lisintgs.
• In March, 12% of new listings taken in the under $100,000 price range are distressed; compared to 19% in the $100,000 - $150,000 price range; 13% in the $150,000 - $200,000 price range; and 8% in the $200,000 - $225,000.
• Properties listed at under $250,000 made up the 52% of new listings entering the market during the month of March.
• 60% of new March listings were distressed; 39% (231) Short Sales; 20% (120) REO; No special conditions 39% (230) and Other less than 2% (10).

Current Months Supply of Inventory (Unsold Inventory divided by Sales per Month)

• As of March 31, there was 4.6 months of unsold inventory based on the March sales rate.

Conclusion

• The median price is trending back up to mid-2011 levels, where the market had seen relative stability. The median price is influenced by the volume of sales at the lower end of the market. With over 80% of the home sales in March occuring in the under $250,000 price range, it's understandable why the median price has remained low.
• New listings have trended up since October 2011, which was the point in time that banks were required to meet more stringent requirements before filing Notices of Default. This has reduced the flow of bank-owned properties coming onto the market.
• Current Month's Supply of Inventory in the Reno market is at 4.6 months moving the market into a seller's market for the first time since August of 2005, just prior to the boom. For the first time, homes priced in the $200,000 to $500,000 have moved into what is defined as a balanced market.
• With the tightening of inventory, buyers and agents are seeing multiple offers on properties. REALTORS® and appraisers are faced with the challenge of detrmining a home's value in what is a changing market.

To read the complete report, with charts, graphs and five year history RSAR Market Report March 2012

To read February 2012 Market Report

Information courtesy of the Reno/Sparks Association of REALTORS® with data supplied by NNRMLS