It's a cool and raining morning so while having a cup of coffee while the kiddos watch a few cartoons I figured I'd take a look at how Missoula is doing statistically so far this year. This is looking 1/1 - 5/5 in the given year.
- 231 homes sold YTD with a median sales price of $201,000,
- 199 homes sold with a median sales price of $204,000
In 2010: (keep in mind 1st time buyer tax credit influenced market):
- 257 homes sold with a median sales price of $195,000
- 209 homes sold with a median sales price of $222,500
- 282 homes sold with a median sales price of $208,650
If you look back at my earlier blog posts in the first few months I had some growing concerns about some massive de-valuation in our market with median sales prices a wide margin from the prior years. Additionally I pointed out that there isn't enough data to suggest a total trend.
Missoula's market continues to impress me with it's overall resiliency compared to other national markets as you can see in these latest stats that the median sales prices have crept back up and are now just slightly off last year's median. You can probably attribute this bump-up to a few things but the main reason is probably due to the current interest rates. With concerns entering the financial world that these current unheard of rates will start to ease up soon people are willing to over-pay a bit right now. In the long-run buyers will have benefited from lower payments due to these rates and will have paid much less interest over the life of their loans.
We're also getting to the point where we can start to predict year-end numbers. We usually see more activity in the 2nd half vs the 1st half and these calculations are quick but at this point Missoula is roughly on pace for about 850 - 900 sales which would be substantial recovery from last year's 779 and even the 830 from 2010 which was influenced for half the year by the 1st time home buyer tax credit. If sales numbers were to surpass 915 in Missoula (which would be a stretch) then Missoula would post the biggest volume recovery since the downtown, surpassing even 2008 which wasn't impacted greatly until the 4th qtr and 2009's which was heavily influenced by the 1st time home buyer tax credit.
Check back later this week, I'm going to do an update on absorption rates.