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Median Sales Price
I use the median closed price for homes to show the growth in value that properties in our areas have experienced. Medians work best because they are not skewed by anomalies like averages are, and I used closed price rather than list price to provide true market values, rather than what the seller might hope their home will sell for!
In May our median sales priced increased up to $277,000 from the $266,000 median in April, a 4.1% increase. We are up 10.6% from the median sales price of $250,400 that we saw in May of 2022. As we continue to go through these statistics, we can see that the price increase is due to many more buyers and sellers entering the market.
Closed Price to Original Price Ratio
This graph is a great indicator of demand in our market. It shows us what percentage of the original asking price (before any reductions) houses are selling for. If a house sells for the exact asking price, it will have a ratio of 100.0%.
In May, we had a 98.4% ratio, which is just slightly below what we saw the previous month. Whether you are buying or selling, it is important to keep in mind that this number is the average of all transactions. Some houses will sell for tens of thousands over listing price, while others will sell for tens of thousands under. If you are buying, it is still worth trying to negotiate, and if you are selling, it is still as important as ever to price your home accurately.
Median Days to Sell
Days to sell really means days to go under contract, aka days until the seller has accepted a written offer to purchase for the property. Like the last graph, this helps us measure supply vs demand. I am again using median rather than average so that the outliers don’t skew our numbers.
Last month houses were still flying off the market, with a median 9 days on market. That’s right on par with where we have been, with the median in April being 10 days. We are reaching similar levels of demand as before interest rates began rising, and properties are still selling fast.
Number of New Listings
This graph represents the number of properties listed for sale over the past 3 years. This statistic helps us identify what the number of new inventory is, since supply levels directly affect demand and prices.
The number of new listings was slightly lower than in the previous two months, but still a strong number at 429 new properties on market for buyers to tour.
Number of Transactions
Here we see a visualization of the number of homes that made it through the listing process and ended up being sold to a buyer ready to call it home.
Don’t be deceived by May bearing fewer new listings, because despite that we still had the most transactions of any month in 2023 so far. In May, 360 homeowners got the keys to their new home.
Months of Inventory
This final graph tracks an equation that we use to measure the relationship between inventory and demand in the market. This statistic essentially says “If we get zero new listings for sale until every house currently listed has sold, at the current rate houses are selling, it would take x months before we run out of inventory.”
Just like in March and April, we had 3 months of inventory in May. Three months shows that there is still great demand in our market, but not so much demand that it’s difficult and annoying for buyers trying to get an offer accepted.
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