As winter approaches, we’ve seen the market slow down a little. Houses aren’t selling as quickly as they recently were, and we get a reminiscent glimpse of what the real estate market was like pre-Covid. While it is still a seller’s market with an inventory of 1.87 months, sellers are learning patience as they wait for offers to come in. Listing prices are holding, but the sold-to-list price ratio continues to remain below 100%. Although buyers are seeing more homes on the market, some have been scared off by political or financial uncertainty and rising mortgage rates.
Even so, making good buying and selling decisions should be based on market data. To help get a clear picture of the market, review the chart below comparing October 2022 stats to September 2022 and October 2021. You can get an indication of where the market has been and what is currently trending.
| October 2022 | September 2022 | October 2021 | |
| Average Sales Price | $ 479,166 | $ 471,906 | $ 381,518 |
| Median Sales Price | $ 405,000 | $ 429,000 | $ 350,000 |
| Average Days on Market | 26.5 | 20.3 | 21 |
| Months of Inventory | 1.87 | 1.79 | 0.81 |
| Sold Price vs. List Price | 98.4 | 98.7 | 100.6 |
| Number of Active Listings | 356 | 348 | 185 |
| Number of Sold Listings | 137 | 164 | 206 |
From the information on this chart, one can see that the average sales price is slightly higher than last month, and almost $100,000 higher than this time last year. The average days on market have increased by approximately 5-6 days. Months of inventory has increased by over a month since last year and is slightly higher than last month. The sold-to-list price ratio is down both month-over-month and year-over-year. Active listings have increased and sold listings have decreased.
What does all this mean for sellers? The market is still strong. Prices are holding and are well up from last year. Though sellers may need to be a bit patient, if their listing price is market-based, they should get showings and offers. In this changing market, however, it is essential to regularly check the sold listings of other similar, nearby homes to make sure their asking price is still supported by market data, and to not be afraid to lower the price if necessary.
For buyers, there are more homes to choose from. Buyers can breathe a little and take a bit more time to view homes and consider their choices. It’s imperative that they rely on their agent to give an opinion as to whether any potential homes are priced right. Agents can study the market and let their buyers know whether the home is priced according to market data, or over/under market prices. Buyers also need to keep in mind that move-in-ready homes, if priced well, will still likely get multiple offers and go under contract quickly. Having a pre-approval letter from their lender will enable them to make a quick offer on one of these gems and, hopefully, put them in the running.