Where are the Buyers?
As the economic rollercoaster continues to effect all sectors of business across the country, home sellers (and real estate agents) in many areas are left to wonder ‘Where are our buyers?” We’ve continually touted our area’s stable market and varied pool of buyers, but let’s take a look at specifically ‘who’ has been buying ‘what’ recently.
For the month of September we saw 210 homes close – 73 of those in Lynchburg City (35%), 50 in Bedford County (24%), 46 in Campbell County (22%) and 16 in Amherst County (7%). This leaves 25 homes, or 12%, for the remaining surrounding counties.
Looking at price ranges, we notice the following: 38 homes (18%) were listed for less than $100,000; 70 homes (33%) were listed between $100,000 and $150,000; another 50 home (23%) were listed between $150,000 and $200,000. Finally, 40 homes (19%) were listed between $200,000 and $300,000 – leaving 12 homes (6%) that sold with a list price exceeding $300,000.
If you were able to see those statistics in a graph or chart, you would clearly notice the largest percentage of sold homes falling in the $100,000 to $200,000 range. This is not to say more expensive homes (or less expensive homes, for that matter) are not selling. However, the data bears out the fact that the most popular homes – at least in September – were in the $100-$200k range.
Some other facts worth noting: the average list price across 210 sold homes was $169,000 and the average sold price was $164,188. This give us an average list vs. sold ratio of just over 97%. (If one takes the list vs. sold price for each individual listing and average those percentages, it comes out – almost exactly – to 97%). Also, the average number of days on market (from the date the property was listed to the date it went under contract) was 107 days. The best price range for days on market, ironically, was the $200-$300k range, with an average of just 95 days.
So there’s a snapshot of the current buyers in our market. If you’re selling a home right now, you know a little better what you’re up against, and hopefully, you’re better prepared to make the necessary adjustments.