Don’t kick your feet back just yet! Change is coming and it may be more than you think (see average days on market)!
The warm air has everyone biting at the bit to hit the ground running in the new real estate spring! That’s what everyone keeps saying, but the data doesn’t lie! So please, take a moment to breathe a sigh of relief and enjoy the mid winter flying insects (Really, where do they come from?)! Recent trends would suggest that homes should continue to remain on the market longer in February than they did in January. Unfortunately this trend doesn’t last very long, as home sales will make an immediate correction come March…
So, honestly, you have a month??? Sorry…
If you haven’t been preparing now, then now is the time to do so. Without preparation, consultation and representation you could easily miss the home of your dreams, struggle to sell your home, or get discouraged and quit. So stop scanning your favorite home search website and contact The Chesterfield Connection to receive your free Home Value + consultation.
When you are connected you will be able to pinpoint your needs to create a plan of action, obtain timely market data to make a calculated decision, and keep your stress at a minimum while you buy and/or sell with confidence!
Without further adieu, here is your January data for Chesterfield, VA:
The average sales price of $292,836 in January 2020 took a bit of a hit compared to December 2019, down 5.4%. However average sales prices were up 8.2% compared to January 2019.
New listings exploded to 705 in January 2020, up a staggering 82.1% from December 2019. This shows a direct correlation that January is the “new spring” when it comes to real estate. But is it really? Number of new listings was up 19.9% compared to January 2019.
There were 979 homes for sale in January 2020, down 3.7% from December 2019. Number of homes for sale was down 15.2% compared to January 2019. RVA as a whole is still lacking houses for the market, some people waiting months to find the right place to call home.
There were 579 pending sales in January 2020, up 73.8% from December 2019. Number of pending sales was up 34.9% compared to January 2019. I’m feeling a theme here…
There were 340 closed sales in January 2020, down 34.9% from December 2019. Number of closed sales was down 5% compared to January 2019. This number is going to sky rocket next month (see pending sales above).
The average number of days on market was 49 days for January 2020, up 19.5% from December 2019. The average number of days on market was up 4.2% compared to January 2019. That’s a beautifully perfect seasonal market fluctuation chart there. If history tells us anything, like the past five years of history, then February has some room to run in regards to wait time for sellers.
While we are on the subject of history. Say we were playing by rules/trends here. If the average number of days happened to surpass 52 for February 2020, that would mean we would have the second February in consecutive years that the average number of days has increased YoY. That hasn’t happened since 2009 to 2011. This could mean a potential market shift beginning. Market shifts are usually gradual, so it would take years to hit a neutral market under current circumstances. Economical issues have shifted markets almost instantly in the past, but that is NOT the case here. So no reason to worry, just a potential long term shift/trend starting to rear it’s head.
Months supply of inventory dropped slightly to 1.7 months in January 2020, down only from 1.8 months in December 2019. Months supply of inventory was down 22.7% compared to January 2019, however that’s not even a full month’s of supply drop. So, no worries here, RVA still short on houses!
The list/sale price ratio was 97.1% in January 2020, down 0.7% from December 2019. The list/sale price ratio was up 1.3% compared to January 2019.
The average price per square foot was the same in January 2020 as it was in December 2019; $133. The average price per square foot was up 5.5% compared to January 2019.
The dollar volume was $97,514,383 in January 2020, down 38.9% from December 2019. The dollar volume was up 3% compared to January 2019.
As always, statistics and data are a great tool to understand your market, but sometimes they don’t show the full scope of what is actually going on. If you have any questions, please contact me to discuss these statistics and learn how they can help you moving forward. Until the next month!