It seems like fall flew in on a gale. I love fall, especially in Alaska. I celebrated the new season by hosting a party for two of my favourite people who are heading off on an adventure with their kids. Then I quickly packed up to spend a night camping in Tutka Bay with a few good friends and a gaggle of kids. It was a glorious weekend to say the least. Now I’m at work for a rest.
As we slide into fall, here’s a look at how August fared in the Real Estate Market. I’ll start with the residential market but I really think the hot story of the summer is land sales. More on that in a later post, but first, here are your August residential numbers:
For the Homer Area (Diamond Ridge/Skyline, Homer, Fritz Creek and McNeal & East) as at August 31, 2018:
Number of Listings Currently Active: 74
New Listings 2018 YTD: 134
New Listings 2017 YTD: 148
Number of Listings that are currently Pending: 23
Pending Listings 2018 YTD: 87
Pending Listings 2017 YTD: 86
Days on Market:
Average Days on Market 2018 YTD: 174
Average Days on Market 2017 YTD: 177
Sold Listings 2018 YTD: 70 (up 13 from last month)
Median Sold Price 2018 YTD: $293,329
% of List Price: 96.5%
Sold Listings 2017 YTD: 79
Median Sold Price 2017 YTD: $244,063
% of List Price: 95.5%
Sold Listings over the past 12 months: 119
Sold listings over the previous 12 months: 120
An absorption rate is the amount of time it will take for our current listing inventory to change, or turn over. Last month, it would take 9 months for our listing inventory to turn over, this month it’s about 8.45 months. That puts our absorption rate at 11.8% – which points to a buyer’s market.
There are some houses that naturally have a narrow pool of buyers and some that are built, placed, priced, and promoted well that will quickly fly off the market. Your marketing mix (product, price, place, promotion) matters. Sellers, a good Realtor who can help you position and market your property in that sweet spot will make all the difference.
Just over 10% fewer homes are selling this year but they are selling for more. Last month, it was about 3.5% more than the previous year, this month it was a just over 20% more. Before you get excited about that number, a little handful of houses that sold in the Diamond Ridge and McNeil Canyon areas, heavily influenced that number, in Homer proper, the increase was just over 2.5% over last year.
My take away today is this: We’re averaging 8.75 sales per month in the Homer area. While there are fewer houses on the market than there were last, your marketing mix matters so make sure it’s on point. My next post is going to be about land sales. Anecdotal evidence is showing that not only are sellers competing with other houses on the market, they’re also competing with new construction – so we’ll take a look at land sales and what’s involved in building from the land up.
For more information, to chat market numbers, or for help buying or selling your home, call or text me at (907) 299-5909. I can be reached through the comments page on this site or at: firstname.lastname@example.org