01/23/2024
Midwest Real Estate Data (MRED) Weekly Market Snapshot! Private listings are not publicly marketed and therefore excluded from this Snapshot.
Frame 2: We can clearly see in this weekly comparison, that actual residential CLOSED listings were down every month compared to the previous year's statistics. Total sales were down! Alone, this would indicate a drop in the demand in real estate.
But let's evaluate this a little closer.
Frame 3: We can see that, residential listings that are UNDER CONTRACT and waiting to close, are mostly up compared to the same month the previous year. This indicates that the actual demand, most likely is proportionately higher than the supply, even though sales are down year over year.
Frame 4: Here we see that the number of NEW listings is down compared the previous year's months. So the actual inventory is diminishing because more inventory is UNDER CONTRACT and less NEW LISTINGS are entering the MRED market.
Frame 5: Residential RENTED LISTINGS are mostly down compared to previous year. This indicates more people are opting to buy instead of rent. This drives the demand for home sales up.
Frame 6: We can see that starting the last week of October of 2023 the number of ACTIVE listings started to drop. With the exception of frame 2, all the other frames above indicate less supply and more demand! This should translate into higher home prices.
Frame 10: Reinforces the idea that more people are opting to buy because the average RENTAL PRICE has increased. Thus resulting in a higher demand in home sales.
Finally Frame 9: My suspicions are confirmed. Home sales prices have increased month over month from the previous year!!!!
So what does it all mean? FOR SELLERS, an increase in sales prices should net you more money at closing. FOR BUYERS, if you are waiting for interest rates to drop, getting a low interest rate may be offset by the fact that you most likely will be paying a higher price for your home. So, waiting may not make a real difference. Same is true for SELLERS who currently have a low interest rate and do not want to purchase their next home at a higher interest rate. Waiting for interest rates to drop for the purchase of a new home will probably result in you paying more for that new home.
If you want me to evaluate and interpret the local market that you are wanting to sell or buy in, give me a call.
CALL OR EMAIL ME NOW to schedule your FREE MARKET ANALYSIS!!!!
773-507-6958 [email protected]
Herbert Antonio Gonzalez
Mark Allen Realty
"Providing you professional service with a personal touch!"
MRED has long offered monthly statistical reports. Now, the MLS is offering weekly tracking on several key housing criteria. MRED will provide weekly updates on the number of new listings and properties under contract.