March 2011 Sales Statistics - Tupelo Area, NE Mississippi
A quick compilation of residential housing sales numbers for the month of March 2011 are as follows:
Total Closed Sales: 118 (this is a 42% increase from the month prior but down by 5% compared to the same month one year earlier)
Total Foreclosures Sold: 34 (compared to 21 the month prior)
Foreclosure/sales Ratio: 27% (down 3% as a percentage of total sales for the month. Distressed property sales continue to be a significant percentage of total sales however, the trend has been decreasing slightly for the last two consecutive months.)
Average Sold Price: $106,284 compared to $132,008 one month earlier.
Median Sale Price: $89,500, down signifacantly from $113,900 one month earlier.
Highest Sold Price: $562,500
Average List/Sell Price Ratio
94.57% Up from a yearly low of 87.64% last month (Feb 2011). Original list price/Sell price ratio remains under 90% at 89.38%.
Average Days on Market 147 trending slightly higher from 123 in January.
Total Homes on Market as of 4/1/2011 - 1,221 Almost identical housing inventory from the month prior but does not reflect total homes for sale. My best guess is that there are nearly 200 homes on the market for sale but not listed through the Multiple listing service. We continue to see many homes languish on the market with many homes being extended past their original list contract period and is reflected in the steady increase in the days-on-market number. There are still a number of price reductions published through the MLS on an ongoing basis. A slight improvement in the ratio between Original List Price to Actual Sale Price was noted for March but still supports the number of price reductions as a market value correction and remains indicative of a continued deterioration of a weak bottom. Once again, closer inspection of this number is suggested in order to determine whether this weakness is confined to a certain segment of the overall market. Overall, Buyer's remain in control of the selling side of our market. Our market is experiencing similar sales hurdles as seen around the country and are not just limited to tougher lending policies and a continued lack of consumer confidence in the overall housing outlook.
The spring season typically reflects stronger sales during the March-May timeframe so sales consistency is going to be the key going forward. One good month will not spell a turnaround where 3 strong consecutive months may exude more positive feelings about jobs and the local economy. Our market inventory has shown some steadiness with some homes selling quickly and others lanquishing. Sales continue to be driven by the factors of location, condition, and price. Buyers remain cautious but recognize good pricing and overall value and are picking up the "deals". Larger expensive homes are still being picked out of the larger mix of available properties, but at a much slower pace.
Overall, our market is stable with an absorbtion rate of around 14.9 months, up slightly for two consecutive months and somewhat mirrors the national trend.
Interest rates stablized through the month varying little more than 3/8ths of a point. 30 yr fixed rates at the beginning of April were around 5.0%. Widespread opinions continue from within and outside the housing industry and technically speaking, there are still feelings about potential downside risk to home prices, mainly in larger metropolitan areas.
Homes purchased today with a long term investment outlook are looking attractive with little downside risk as we head into the summer months. However, with looming inflation concerns, the consumer should remain tuned in to their needs, affordable housing and purchase well within their means. "House poor" has become a common description of homebuyers who take on too much home by "maxing out" their eligibility and leaving little disposable income for everyday living expenses. Rapid inflation can do real harm to disposable income as debt to income ratios can also change rapidly.
Numbers compiled from Northeast Mississipi Board of Realtor MLS statistics on 4/6/2011 and may be within a slight margin of error based on totals and timely reporting. This compilation does not include private or other sourced sales activity.
For more detailed information about our market or neighborhood specific reporting, please contact Randy Landis at EXIT Realty Premier, Tupelo. Randy is an Accredited Consultant in Real Estate.
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