When I first started in real estate I witnessed the end of the "golden era" for Linda Vista. A stereotypical 90's built neighborhood on the south-western foothills of Missoula this area features winding cul-de-sacs, large homes with forward facing garages, and homes that featured mostly pastel exterior colors. This neighborhood as well as it's adjoining neighborhoods, Southpointe and Maloney Ranch couldn't be built fast enough as many of Missoula's Baby Boomer generation had their dream homes custom built for them. Outside of these sprawling neighborhoods there's also some mixed large-lot homes and ranches as well as some newer subdivisions that feature larger homes on 1 to 5 acre parcels.
In 2010 there were 70 sales in this area, the median sales price came back at $291,750. The average time on market for these sold homes shows 116 days. The median listing price shows $299,450 suggesting that most of the homes sold in this area were able to sell for about 97% of their original listing price. In 2010 there were 11 foreclosure sales in our MLS for this area.
Moving forward to 2011 the volume in sales dipped down to 59 total houses with a median sales price at $275,000. The average time on market stretched further out than in 2010 at 132 days. The median listing price for these same properties was $282,500 showing that houses were still getting 97% of their original listing price. The amount of foreclosure sales dropped slightly to 9 homes in 2011.
If there was a market that was hit first by the slowdown it would probably be this area. These numbers go to show that foreclosures played a stronger role here than in many other neighborhoods in 2010 and still have a similar impact in 2011. The median prices are also still receding as is the volume. For a lot of this area being a baby boomer paradise, these homes don't appeal as much to the next generation of home buyers and it's showing.
Looking at the absorption rates for this area I'm showing that there is 10.32 months of inventory currently listed for sale in this area, an over-supply. I also expect that this over-supply will grow this spring/summer as more houses come out for sale, but demand might stay the same or even shrink back even further.