Current Price Trends
The final statistics for 2007 have been released by the NWMLS. Prices evened out last month, ending a four month decline. The median price for December was $275k, which was a slight decrease from the January 2007 figure of $274k. We believe the monthly trends will reverse themselves soon and that the new year will show modest gains of 5%.
The average cumulative days on market - total time a home is for sale, from listing to closing - moved up a bit to 100 days, up from 97 days the previous month. Buyers continue to have the upper hand, even though the average sale price to original list price rose to 95%, up from 94% in November.
Listing inventory continued falling to reach the lowest level since March ’07. There were 6501 homes on the market to begin 2008. Buyers will soon notice that their choices are rapidly diminishing. The holiday season took its toll on sales with that figure dropping to the lowest level of the year. With just 579 homes sold, sellers must remain committed to proper pricing.
* Homes sold - single-family homes, both resale and new construction, but not condos or vacant land.
** Median home price - the middle price in a given sequence of prices, taken as the average of the two middle prices when the sequence has an even number of homes.
*** SP/Orig LP% - Sale price divided by original list price.