How Much Will I Pay For a Franklin TN Condo/Townhome? February 2015
As we move into the second month of 2015, buyers are considering whether this is a good time to purchase a Franklin TN condo or townhome. The question is best answered by looking at the current market--is it a buyer's market or a seller's market, are prices are going up or down, and how long are homes staying on the market? To understand these factors you need to look at a current market report. Let's take a look at what happened in Franklin TN in January 2015.
- Active condo/townhomes listings: 68
- Of those units currently on the market, the number under contract: 16
- Properties closed in January: 21
- Average sales price: $278,531
- Average list price: $277,809
- Average sales price to list price ratio: 100.2%
- Average days on the market: 62
- Average per SF price: $182.29
- Lowest per SF price: $93.38 (Andover)
- Highest per SF price: $233.03 (Westhaven Condos)
To determine whether it's a buyer's or seller's market, REALTORS® use something called absorption rate. If you take the current inventory of 68 homes and divide that by last month's closed sales (68/21) you get 3.2 months. That means if the current inventory stayed the same, it would take a little over 3 months to sell all the existing homes. A normal or steady market would be 5-7 months; anything under 5 months would be considered a seller's market; anything over 7 months would be considered a buyer's market.
The Franklin TN condo and townhome sales for January 2015 reflect a seller's market. The inventory is slowly increasing but a steady demand continues to drive the market upward. Over the last 12 months, prices on condos and townhomes have risen an average of 8.4%.
For the first time in many months, the sales price to list price ratio is in excess of 100% This is due primarily to the fact that out of the 21 closed homes, the majority of them (11) are new construction. Oftentimes the sales price on new construction homes exceeds the list price due to add-ons by the buyer.
Whether you are buying new construction or an existing home, it is extremely important to enlist the aid of an experienced buyer's agent to help you pay no more than you should for the condo or townhome you desire.
In this market, buyers need to act very quickly to secure the home they desire. TW Realty Group is here to help. When you are ready to buy a Franklin TN condo or townhome, contact Tom White of TW Realty Group at (615) 870-8169.
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