Market update at glance
May 31th 2016
“HOW’S THE TRAFFIC” (Again)
Thought I would use an analogy to try and capture the market this month.
So to indicate the speed limit on or imaginary road I would us the percentage of pending to actives. As of the end of May the “speed limit” was 71% meaning that if there were a 1,000 active properties we expect 710 pending sales (in 2015 the “speed limit” was 75% ). The next issue on road trip is how much traffic is there on the road or pending sales, at the end of May there were 465 pending sales or homes under contract moving down our road to closing , that means there is 8% more traffic (pending sales) than last year when there were 429 pending sales. The next concern we have is how many cars (active properties) are trying to get on the road. At the end of May we had 649 (active listings) or 13% more traffic trying to get on the road than in 2015 when there was only 573 active listings trying to get on our road to closing. So the last item on traffic analogy is closed sales, vehicles leaving the road because they have a new owner. This year through May 850 closed sales or vehicles that have left our imaginary road, which is 1% more than last year when by the end of May there had been 839 closing.
All the trends require watching when thinking abo