Tuesday, July 19, 2011

Desert Ridge Area – Market Snapshot

Today I thought I’d pull some numbers, charts & graphs for the Desert Ridge area, to see where the activity really is.

Overall Activity

  • # of Sales, 1/1/11 – 6/30/11:  404
  • # of Current Listings:  253
  • Months’ Inventory:  3.75

Overall it looks like homes are selling at a brisk pace; 3.75 months’ inventory is generally considered a seller’s market.

Activity by Price Range

Sales are heaviest in the $100,000 - $300,000 range, accounting for 276 of the 404 total sales (68%).

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Listings are spread out a little more, although the $100,000 - $300,000 range still accounts for the largest share (62%).

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Seller’s Market?

Combining the Sold and Active data to look at Months’ Inventory by Price Range, I was surprised to see a fairly consistent inventory, at least for the prices < $600,000.

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The market is just as hot between $400k - $600k as it is for homes < $200k, while it’s a little softer in the middle range of $200k - $400k.  And forget about it once you get above $600k; the market deteriorates quickly.

My guess is that the sub-$200k market is being driven by investors & distressed activity, and the $400k - $600k market is made up of owner-occupied and second-home buyers snapping up formerly million-dollar homes, while the traditional mid-range move-up market is the soft spot in the middle.

Next time I’ll dig even deeper to see if my hunch is right.  In the meantime, please give us a call if you want to see a particular neighborhood or have any other questions.

Your turning data into information Realtor,

Chris Butterworth