The basic law of economics says that if you have more buyers than sellers then the price goes up, and that’s just want happened in the 2nd quarter 2017. Continued low homes for sale inventory levels forced up Daybreak Home Prices in the 2nd quarter, with the median sales price increasing 6.3% to sit at $329,000.
With fewer homes on the market the total number of homes sold in the quarter saw a decline of 13%. While the median time taken to put a home under contract fell 15.79% to 16 days.
Median Sales Price: $329,000 up 6.3%
Total Sales: 153 down 13.07%
Median Days on Market: 16 down 15.79%
The single family home section of the market performed strong, with a 9.14% increase in median sales price. The new median sales price stood at $388,000, compared to $330,000 for the entire Salt Lake County area. Total number of homes sold declined 9.40% while the days on market remained the same at 15 days.
The best performing home type was townhomes which saw its median sales price climb an impressive 12.24% to $263,775%. Number of sales fell 14.29% with 42 townhomes sold and the days on market collapsed 29.63% to 19 days.
The exception to the rest was the condo market which really struggled in the quarter. Prices were down 9.63%, while homes sold collapsed 50% with just 5 units sold. The only bright point was days on market which fell 46%, but was still pretty high at 45 days.
Single Family Home Sales
Median Sales Price: $388,000 up 9.14%
Total Sales: 106 down 9.40%
Days on Market: 15 No Change
Median Sales Price: $263,775 up 12.24%
Total Sales: 42 down 14.29%
Days on Market: 19 down 29.63%
Median Sales Price: $155,000 down 9.63%
Total Sales: 5 down 50%
Days on Market: 42 down 46.15%
Looking forward I am starting to see some signs in the market slowing, with sellers in some areas getting ahead of themselves and having to lower prices. It remains to be seen if this is enough to slowdown the recent price appreciation.
The original Low Inventory Levels Continue to Drive up Daybreak Home Prices in the 2nd Quarter 2017 appeared on my Daybreak Blog.