Hello Spring 🌱 March Numbers are In!
Hello Readers! The numbers for March are in and present some interesting facts compared to the most recent trends of low inventory and high demand. Over the last couple years, the market has swung pretty drastically from a buyer’s market to an extreme seller’s market. We’re about to get into the numbers, and we’ll show you what we expect in the future for our market.
In March of 2017, we had 261 homes listed for sale in O’Fallon. That remained pretty steady at 259 active homes this March. The amount of sold homes also came in at 54 homes for both 2017 and 2018. The average days on market decreased from 63 days to 49 days; that’s over a 22% change. Percentage of asking price is a percentage that compares the seller’s original asking price to the price the buyer paid for the house. Interestingly, the average percentage of asking price went down from 97% to 96%. I know you're itching to know what all this means but let’s take a look at St. Clair County before we make sense of it all.
In March 2017, there were 1,895 homes available in St. Clair County compared to the 1,929 homes this March. There was also a decrease in sales compared to last March from 286 sales down to 244 sales. Like in O’Fallon, the average days on market decreased, but just slightly from 92 to 89 days. In March 2017, seller’s were getting 95% of asking in St. Clair county compared to 94% this year.
So, the big question is what do all these numbers mean? We have several thoughts, but they all ultimately come down to our overall prediction that the market will taper off and will only go so far into a seller’s market. We believe the average consumer is now realizing more fully the shift in the market and is deciding to take advantage of that. Sellers are considering this market a great time to sell, and making life plans to take advantage of it; hence, the steadying out of active homes in O’Fallon and the increase of available homes in St. Clair County. Sellers also realize this means they can get more money for their house, which can sometimes be exaggerated, thus causing the decrease in the average percentage of asking price. Buyers are also coming to an understanding that the market has changed, and it’s causing a change in the buyer’s behavior. Buyers are moving much more quickly than they used to because they know that they could risk losing out on the house of their choosing. This is why the average days on market is going down in O’Fallon and remaining steady in St. Clair county despite the increase in availability.
Consumers are getting smart about the market and learning how to react to it. Over the last few years, the market has quickly and steadily increased from a buyer’s market to a seller’s market to an extreme seller’s market. Although we have seen the market trending an increase in sales price and a decrease of days on market, it now seems to be tapering off. In this shifting market, it’s important to keep oneself educated on the numbers in order to understand what’s next. If you have any market questions, you're welcome to send them our way!
-Stats from https://marisstats.com/agent.php
-Adapted from the O'Fallon Weekly