A Sign The Market is Slowing
With the rising interest rates, the chart below shows the slowing of the market. When interest rates were at their lowest, homes were selling at around 94% of the list price in the Springfield area market. Through the summer months, they rose to over 96% of list price.
Todays market is showing the sales prices are weaking with sale to original list price dropping back to 95%.
Further signs show inventory on the rise. Homes in and around the Springfield Mo MLS are slowing growing. During the summer months, the number of homes stayed below 2800. Today, 3228 homes are active on the market for sale. During the winter season, inventory usually falls, but this year I believe we will see an increase. The cause once again is higher interest rates.
Has this affected the sales prices? New construction is seeing builders becoming more agressive with their prices, lowering the list price or adding incentives to get the homes off the market through the winter seasons. Some homeowners are pricing their homes to sell faster than during the summer months. We are not seeing as many multiple offers as we did during the summer months. On average, prices are still above the average sales price from a year ago.
Photos courtest of Springfield MLS November 2023
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