Median home price up 14.5% from Nov. '16
If this was a typical year, we would expect activity in the Reno/Sparks area for Single Family homes to cool off slightly in the last quarter of the year. However, continued strong demand and the constrained inventory of affordable homes continues to drive a Seller’s market in many price ranges and neighborhoods. Let’s take a look at the details.
There were 783 homes available for purchase at the end of November. This a decrease of 18.7% when compared to October, and down a staggering 43% when compared to this time last year. Next, we will look at the number of units sold.
Reno/Sparks area REALTORS sold 519 single family homes in November, which was a decrease of 6% compared to October. There was also a decrease in sales of 3.4% when compared to November of last year. Until more homes appear on the market, the limited inventory will continue to affect the number of sales.
So, let’s take a look at how the demand and sales activity impacted median price and average days on market.
The median sold price for single family homes in Reno/Sparks increased 2.7 percent, to $355,000 in November. This is exactly the same median price as we had at the peak of the summer selling season in July. While the month over month increase is slight, the better indicator of market performance is the year over year analysis. In November 2016, our median price was $310,000. That’s an increase in our regional median price of 14.5% since November of last year.
Average Days on Market for homes sold in November decreased slightly, from 89 days in October to 86 days. Normally, Days on Market would increase during this time of year. Last November, the Average Days on Market was 97 days. This demonstrates further that there is continued demand for homes, but the constrained inventory is inhibiting the number of sales and escalating the prices.
Why should this information matter to you? If you want to purchase a home in a fast-moving market such as ours, you will want to be sure to work closely with me and your lender to be pre-qualified before looking at homes. If you’re a seller that is concerned about putting your home on the market during the holidays, I hope these statistics will put you at ease. Demand is strong, and there is little competition in many neighborhoods and price ranges. Whether you are considering a move up, across town or to downsize, now is the best time for us to speak about your options.