Local Market Report

The MLS numbers for 2018 are showing some interesting trends. For the first four months of 2018 I am seeing a typical bump in activity on both sides of the market, supply and demand in roughly equal amounts maybe a slight gain for buyers in what has been a stubborn seller's market. Inventory is still tight but not as tight as last year, listed units outpacing sales by 50% will help pad the inventory and is clearly leading to a flattening of prices.

The median sold home price county-wide trails the sold average by roughly $44,000 a 12% gap. With a large pool of over 2000 sales, this is a reasonable indicator that the market is moving from entry level to mid-level buyers.

The entry-level has little inventory and many buyers have been nudged out of the market by the combination of high prices and rising interest rates. The middle market is seeing some traction as mid level buyers are jumping in to lock in a manageable mortgage rate.

There was a buyer's gain in March followed by a seller's gain in April so things seem to be about the same with sellers still holding an advantage in this market.

The both the median and average sold price is fairly flat over the last 4 months. Our market is being influenced by the rising interest rates.

Marketing time remains short with the median less than a week. This bodes well for sellers, but may also indicate sellers are more willing to accept lower price when listing price is "puffed up." Sellers are equally anxious to sell as they have the same rising rate concern as buyers.

Overall I see the market flattening for the rest of the year. Analysts seem to agree that middle single digit price appreciation is anticipated for 2018. If inventory remains tight, sellers will continue to have a slight advantage at the negotiating table. Buyers however, have gained some leverage in the market and the flattening of prices surely is a strong indicator the local market is moving towards neutrality. I like a mild seller's market, it is healthy and most importantly, sustainable.

Labor Day is Here.

Labor Day marks the unofficial end of summer. Locally the mercury won't notice as we are expecting some very warm temperatures this weekend. As for real estate, this marks the end of the summer seasonal peak for home activity and that means buyers that have been struggling to find a suitable property in their price range may get a little relief.

No we are not going to suddenly plunge into a buyer's market, but it is moving from a strong seller's market to a weak seller's market and that bodes well for frustrated buyers. The back to school time also tends to put some buyers in a holding pattern. Those buyers will to stay in the hunt may find substantially reduced competition from other buyers and sellers that may be willing to work on price or concessions that a few months ago were nigh impossible to negotiate.

Buck up buyers, this could be your moment. Enjoy the holiday weekend, stay cool, and don't give up, there is a home out there.

Market Update

So the seasonal slowdown has arrived. No need to freak out, the summer is generally the busiest time of year often with a 25% bump in monthly transaction volume between May and September. That is beginning to settle back into a more typical autumn pattern. But it should be noted that inventory although still tight has softened a bit and combined with the seasonal adjustment to demand, things are less hectic for buyers. Make no mistake, the market still favors sellers, but the ten offers in ten hours craziness we had in the spring has subsided and sellers seem to be a little bit more malleable.

According to our local MLS service here in Clark County, we are seeing the median days on market creep up a little, but still fast at just 12 days. Median price is still rising but over this summer the prices have stabilized and the increases have been modest. Median sold value in Clark County is hovering right at $300,000. Stabilized pricing is healthy as the real estate market cannot sustain double digit year over year growth for more than a few years.

This is an excellent time for buyers that failed to find a home over the summer or were not prepared to buy in the last few months to jump in. Supply is slightly up and demand is slightly down and that means the market is still very healthy but also a little more accessible. Sellers that were a tad overpriced in the summer months are ready to make a deal as they usually don't want to be selling during the holidays.

I am looking forward to a strong fall season.