Even though fall officially begins in a week and a half, we still experience triple-digit temperatures here in Lake Havasu City. So many people still flock to the water every weekend to enjoy the Lake Havasu lifestyle. After a few months of hot, hot, hot sales, the Lake Havasu Market Report for August 2019 showed sales begin to taper off. Prices haven't, though. Inventory levels decreased which contributed somewhat to the rising prices. And there doesn't seem to be a change coming anytime soon.
August 2019 Havasu Market Report
Lake Havasu Market Report - August 2019 Sales
Our local multiple listing service (Flex MLS) reported a total of 194 homes sold in Lake Havasu City during the month of August 2019. That's a 13.4% downturn from the 224 sold the previous August. It's also 13.4% less than the 224 sold in July 2019. May 2019's 256 total sales continue to be the highest of the year. Pending sales for August 2019 (193) slightly outpaced August 2018's 186 but came in just a hair under the 199 reported in July 2019.
Lake Havasu Market Report - August 2019 Prices
Prices, on the hand, show no sign of slowing down anytime soon. Flex MLS reported that Lake Havasu homebuyers paid a median sale price of $299,394 last month. That's 6.93% higher than the $280,000 median sale price they paid last year, which also happened to be the same median price paid in July 2019. This marks the highest median sale price for this calendar year.
Lake Havasu Market Report - August 2019 Inventory
Inventory levels continue their year-over-year upward trajectory. In August 2018, we showed 3.05 months of inventory available. Last month, that increased by 14.1% to 3.48 months available. However, it's also 20.1% lower than July 2019's 3.82. Since March's high of 4.72 months of inventory available, we've been steadily decreasing each month. That helps keep prices up even with lower sales.
What Buyers Need to Know
In July, the Federal Reserve cut their benchmark interest rate for the first time in more than 10 years. Today, President Trump called on them to lower them even more, perhaps to below zero. With the US economy showing solid growth and consumer spending remaining healthy, the Federal Reserve may choose to hold steady at 2.0-2.25% during their next meeting. We won't know for sure until after that meeting takes place next week. That may or may not impact mortgage interest rates, which Bankrate.com reports as 3.87% currently. They've remained below 4% for several months now. If you're looking to sell your Lake Havasu home to cash in on some of the equity you've built, please contact me at (928) 208-5184 or via email.
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Visit any of my Lake Havasu real estate sites below for more information on the Havasu market:
Originally posted on my Lake Havasu real estate blog here: https://havasuareahomes.com/lake-havasu-market-report-for-august-2019/.