The question in most peoples minds in regards to real estate is… “how’s the real estate market doing”? With the national news still reporting it is a buyers market, that things are exploding, that things are much, much better is simply not true in most of Connecticut. All real estate is local, New Milford CT is not following the national averages. We are in a very fragile market, the economy, new jobs, unemployment rates, these things affect our local market. Not national averages.
There are many things to watch for that are important when answering the question about the health of the real estate market in New Milford, CT. Comparing the amount of active listings to the amount sold is very important. Then looking at how many average days it took to get these to close is also telling for a seller. A buyer wants to know if it is a buyers market, and we are in a buyers market no doubt. My favorite statistic is the list to sales price, however I prefer to look at the original list to sales price rather than the last list to sales price. That tells much to me, are listings still overpriced?
How many active listings are there? Currently there are 207 single family homes for sale in New Milford, CT. Last month at this time there were 176 active single family homes showing for sale. For sellers it means there is more competition and prices won’t rise simply because of supply and demand. Another telling factor is the amount of short sales we have listed are rising too. In March there were 15 active short sales, a number that seems to be on the rise here in New Milford. As of this moment in time 19 of the 207 active single family homes for sale in New MIlford are short sales. That represents 9% of the single family homes listed! That is a number we cannot ignore when both listing and selling homes and affects the saleability of these homes. Many buyers simply cannot or will not wait for a short sale to be approved and the purchase to happen.
April 2013, 16 single family homes closed in New Milford, CT. That is no change from March 2013.
April 2013, the average list price of a single family home rose dramatically with no sales justification. April 2013 average list price was $450.474. In March of 2013 the average list price was $369,794. We have not seen an average list price that high since September of 2012.
Average sales price in April of 2013 was down from the previous month. April’s average sales price for single family homes in New Milford, CT was $324,394. The average sales price for March 2013 was $362,547.
Mixed messages abound! The current real estate market in New Milford, CT is still fragile at best. I see more buyers out, more homes going under deposit, all good. I also know deals are tougher than ever to hold together. Homes that go under deposit often come back on the market.
It is still a buyers market in New Milford, CT. The absorption rate, or the time it will take to sell the current inventory, if no more homes come on the market, is 11 months. 6 months is a balanced market, under 6 months a sellers market, over 6 months is a buyers market. With current inventory on the rise, if we don’t have a good increase in sales this month it may go higher.
My advice to sellers, understand it is a buyers market. Get your house ready to sell, make it stand out above the competition, price it right according to the condition and location of your home and the current local market conditions.
My advice to buyers, although it is a buyers market, recent changes to the mortgage industry can make getting a loan more complicated. A good mortgage person to guide you, an agent with a grasp on the local market are what is needed. Although the inventory is rising, certain price points have less homes and the competition can make you feel like you are running the gauntlet.
Take a look at the graphs for New Milford CT real estate market. Then give us a call for a free market analysis of your home at 860.946.0686.