Fernley, NV Homes and Real Estate Report March, 2014

Fernley homes median price is up substantially from the bottom of the market in January 2012, a positive statement about the recovering real estate market after seven years of declining values.

Fernley Homes Median Sales Price

• March 2014 median price was down -0.1% to $129,900 compared to $130,000 in February 2014 and up 13.1% compared to $114,900 in March 2013.
• Median price is defined as the mid-point, where, for the time period identified, the price for one-half of the sales are higher and one-half are lower.

Fernley Homes Sold

• March, 2014 homes sold was up 44.4% to 39 compared to 27 in February, 2014 and down -17.0% compared to 47 in March 2013.

Fernley New Listings

• March, 2014 new listings was up 19.0% to 50 compared to 42 in February, 2014 and up 11.1% compared to 45 in March 2013.

Monthly Supply of Homes  (Unsold Inventory divided by Sales per Month)

• As of end of month March, there were 3.6 months of inventory based on the sales rate.
• The National Association of REALTORS® describes a balanced market as between 5 and 7 months supply.
• Unsold inventory includes Active Pendings.  This method of reporting month's supply of inventory follows the industry standard of including all pending sales in the active inventory.

Conclusion

• The trend shows that the acceleration in median price is slowing.  First quarter 2014 prices are down 7% from the 4th quarter 2013.
• Affordability is an important discussion in today's market.  There is no specific level of the index that signals "unaffordable".  Rather, it's better to view the index as a measure of how opportunities for households with a median income are changing over time.  For example, the Nevada median income household of $50,000 will have a harder time buying a home today than they did two years ago, mostly because prices have increased and not because mortgage rates are a lot higher or incomes a lot lower.
• The affordability index has changed due to current market conditions of higher prices and lean inventory.  It doesn't mean the median income household cannot afford to purchase a home in today's market, it simply means the purchasing power has declined as a result of less inventory and a higher median price.
• Fernley remains an attractive option for those median income earners who may be priced out of the market in the Reno area; however, inventory levels in Fernley for the entry level buyer are also low.
• For those sellers with equity and a willingness to price their home competitively, particularly at the entry level of the market, there is still buyer demand and it's an excellent time to sell.

To read theFernley Market Report Feb 2014 with charts, graphs and five year history.

To read February, 2014 report and previous months and years.

This report is courtesy of the Reno/Sparks Association of REALTORS® with data supplied by NNRMLS.