I want to take a look today at our market conditions, as we enter the fall market season.
I started writing as early as January of this year that I could sense that my primary market areas, Yardley, Newtown, Richboro, Upper Makefield, Solebury, etc, was changing. Buyers were starting to complain that there wasn’t enough inventory, and my own listings started selling quickly and at prices closer to asking.
If you look at the accompanying charts, that track the Bucks County real estate market, as well as the Lower Makefield Township (Yardley) market, you can see what has happened over the past 7 months.
The number of homes sold in Bucks County, through July this year was 2822. That represents an increase of 13% from what sold through July of last year.
In Lower Makefield Township, there were 175 homes sold through July of 2012 compared with 155 last year at the same time. That represents an increase of 12.9% for Lower Makefield Township.
Inventory of homes for sale is 10.3% lower at the end of July this year, compared with last July, for all of Bucks County.
In Lower Makefield Township, there were 249 houses on the market at the end of July, 2011. At the end of July this year, there were 202 homes for sale! That represents a decrease of 18.9% compared with the same time last year.
At the end of the day, taking all of the emotion out of residential real estate, the real estate market really is a function of supply and demand. Basically, supply has decreased and demand seems to have increased.
Interestingly, the average sold price of a house in Bucks County has actually decreased by 1.9% compared with the end of July last year.
The average price of a home sold in Yardley, is virtually the same as it was last year at the same time.
Average discounts from the asking price, both for Bucks County as a whole, and for Lower Makefield Township, has remained about 8%.
In Yardley, there is currently about an 8 month supply of homes on the market. While this has improved over the past couple of years, that still represents conditions that favor buyers. We consider a real estate market to be balanced when there is about a 6 month supply.
Finally, both for Bucks County and Lower Makefield Township specifically, pending sales at the end of July this year, are better than they were last year at the same time.
I believe that we will continue to see these trends continue, for the remainder of the year.
What this means to you if you are considering selling in the Yardley area: If you price your house competitively, and if it is exposed properly to the market, you have a great chance of getting your house sold. You still need to be realistic about price, but it does appear as though the real estate market in Yardley, and Bucks County, is improving.
Contact me if you have any questions about the current real estate market in Bucks County.
Links to current market statistics: