Year-end Durango Real Estate Statistics are now complete for 2014 and the residential sales volume shows an increase of 7.59% over 2013's year-end number. The number of residential units sold increased only slightly ... 1.23%... from the year before. Obviously, that means that the average sales price increased.
For those of you that have been following my analysis of Durango real estate statistics over the years, you are aware that I break down the sales in $200,000 increments and then analyze each increment by 13 different factors. Number of units sold, average and median days on the market, sales to list price percentage, absorption rate and then whereabouts in the county where people purchased (five categories for this) are just some of the items examined. I also do a "total market" for each of the 13 categories as well.
This thorough review of the market is done four times per year and is a huge help to both buyers and sellers. Let me give you an example. A seller comes in wanting to list his home at $700,000. In 2014 there were a total of 58 units that sold in that price range and there are currently 67 on the market. That price ranges oversupplied. It gives us an absorption rate of 1.16 years. When I asked the seller how soon do they really want to get their property sold, and the reply is 3-6 months, then it is apparent that that property must be very aggressively priced because if no other homes come on the market in that price category (which obviously is not realistic), the seller can reasonably expect it to take over a year to sell. That particular price range sells for 96.73% of its last listed price so there is not a ton of dickering that goes on but home prices come down the longer they are on the market. Clearly my suggestion is to price it very competitively right away and then defend that price to get it sold in that 3-6 month timeframe.
Another thing that we are able to do with this analysis, is to see the trend or the direction which we are heading compared to the year before. I have the exact same analysis for the year 2013, so using the example above 10 more units sold in the year 2014 compared to 2013 and median days on the market went from 149 days down to 110 days. Please take a look at this complete analysis/chart and if you're in the Durango real estate market I'm certain that you will find it helpful. Here is a link directly to that analysis: Durango Real Estate Statistics 2014 vs 2013
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