What do you say when the market this year duplicates the market last year?
More of the same.
We've seen a drop in the number of multiple offers but our days on market have been similar for the last 2 years. Sales in October were within 1.3% of sales last October, and sales for the year so far are within 1% of sales for the same period last year. Inventory was 8% lower than it was at the end of last October and pending contracts at the end of the month were 10% higher than they were at this point last year, which should bode well for sales in the next few months.
The market is chugging along with high demand and low inventory. There are only 40 days of resale and finished new home inventory. It's interesting to note that the price per square foot of resale home inventory is within 5% of the price per square foot of new home inventory, a very small margin historically. That similarity in price creates a great opportunity for builders and may explain why new homes equaled 31% of all sales for the last 12 months, up from 26% for the previous 12 months. Nationwide we are underbuilt by about 5 million units and we are underbuilt locally as well.
Buyers, the consistently low mortgage rates have created a great opportunity to buy now, before the Spring rush.
Sellers, this may be a good time to put your home on the market at a time of low inventory.