Real Estate Recap September 2023

Sales were down 23.3% from September 2022.  New listings coming on the market were also down 30.3% from September 2022.

The average sales price of homes rose 5.8% from September 2022 to $420,941.

The percent of original list price received rose to 96.9% this September versus 95.4% in September 2022.

The average list price of homes listed for sale in September 2023 was $468,082 up 10.6% from September 2022.

The months’ supply of inventory was only 2.6 months’ supply in September versus 2.9 months’ supply in September 2022.  A balanced market is considered around a 6 months’ supply of homes.

Trying to tie together the above stats, it’s obvious that a supply shortage of homes for sale has caused sales to drop from September 2022.  This shortage of supply has also driven prices higher as buyers compete for available homes.  Home mortgage rates have increased to about 7.25%.  While this is keeping many potential buyers from purchasing a home, there is also another side of this rate increase.  Many homeowners still have mortgages with a 3% or less rate.  Those homeowners are extremely reluctant to list their homes for sale.  No one wants to give up a 3% mortgage and take on a 7.25% mortgage rate.  This disparity in rates has contributed significantly to the current low inventory of homes for sale.  October is usually a banner sales month for the mountains, due to all the tourists taking in our beautiful fall leaf season.  We will see what this month brings.   From my point of view, the shortage of homes on the market will continue to cause sales to be off from last October, and prices will continue to rise.

Please let us know if we can help with your real estate needs, or feel free to call us if you just have a question.  (Answers are still free!!)