Today, we’re going to discuss the state of the real estate market for October and the year-to-date figures for 2023. Let’s start with what occurred in the real estate market in October 2023. Once again, we saw a decrease in the number of listings compared to the previous year. New listings were down by 17.1% in October 2023, and year-to-date through October, we observed a decrease of 17.9% in new listings.
When it comes to sold listings, it’s no surprise that with fewer listings available for buyers and limited inventory, sales were down as well. New sales in October dropped by 22.4% compared to the previous October, and this trend has been consistent throughout the year, with a year-to-date decrease of 21.1%.
Due to the limited supply and increased demand, median sale prices have risen. In October, the median sale price increased by 3.9% compared to the previous October, and year-to-date, it’s up by 6.3%. The current median sale price stands at $410,000.
Average sale prices have also seen an increase of 3.6% in October and 7.5% year-to-date, with the average sale price for October at $450,976 and year-to-date at $462,065. In terms of offers above or below the asking price, in October, buyers were paying an average of 1.19% above the asking price, and for the year, the average was 2.25% above the asking price.
“Low inventory and interest rates are impacting our market. “
The median days on the market for pending sales in October was seven days, down by one day, and the overall average for the year is six days. On average, houses are selling for $235 per square foot, with the lowest being $69 per square foot and the highest reaching $525 per square foot.
Regarding the hottest price ranges for houses, the $350,000 to $400,000 and $600,000 plus price ranges are the most popular, with $300,000 to $350,000 coming in as a close third.
Low inventory is a significant factor limiting sales due to the scarcity of available properties. Additionally, high inflation and increasing interest rates, which have risen from 3% in the fall of 2021 to approximately 7.65% as of November 1st, are affecting the market. To put this in perspective, if you had a $400,000 mortgage in the fall of 2021, the same mortgage today would result in payments nearly $1,500 higher.
These factors, combined with rising home prices, make it challenging for sellers to find suitable new homes, as they face higher payments and limited options. If you have any more questions, feel free to call or email me.