Inventory & Sales Prices Rise, Pending & Sold Homes Dip

Home sales prices within our local tracking zones continue trending upward, despite buyers wielding more negotiation power due to an increase in supply and the lengthening number of days listings are spending on the market. 

Locally, the average number of days on the market increased from 82 to 87 days while the number of active listings increased 6.9 percent over last month. The average sale price jumped a combined 9.8 percent higher in our four zip codes. 

However, the total number of homes sold decreased 3.8 percent from last month, and the number of pending home sales dropped 13.9 percent from the previous month.

Nationally, month-over-month sales increased in the South and West, while year-over-year sales declined in all four regions.

“Despite the small monthly gain on a seasonally adjusted basis, August and September marked the two slowest months for home sales this year,” said NAR Chief Economist Lawrence Yun. “Further increases in mortgage rates in recent weeks mean fewer buyers can qualify to purchase a home.”

“Home sellers need to be realistic about local market conditions, which could require price discounts and other incentives to attract buyers,” Yun said.

When securing a mortgage rate, buyers should remember these tips from the National Association of Realtors^®:

• Shop around for the best rates, including terms and fees
• Negotiate the rate/Ask for discounts
• Buydown mortgage points to reduce the interest rate 
• Consider mortgage term options (e.g. term lengths beyond 30 years)

For home buyers who may be trying to “time” the market and snag the best interest rates, real estate has adopted a new mantra: “Marry the house; date the rate.” As the phrase implies, buyers may be better off committing to the home they love long-term, regardless of current rates, and refinancing later should interest rates drop.