February, that fun month where you start getting the itch for spring. Did St. Valentine, the patron saint of lovers, deliver solid results to all the couples out there? Did this translate into a housing spike? Let's find out!
In January I had stated that statistically homes should last on the market longer in February than in January, as homeowners prepare for the spring market. Was I right? Well, we shall see, but the end of February also started a rise in pandemic fears, which realistically took hold in March. So I will be very curious to see those statistics in a couple weeks when March data is released. Until then, let's see if February hit the ground running or took a slight step back. I got a feeling some of these statistics will be surprising!
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 your Chesterfield Connection to receive your free Home Value + consultation. Also, we can talk about why you shouldn't wait to list and what can be done for you as a home owner to increase home interest during a period of social distancing/isolation.
When you use me as your guide you will be able to pinpoint your needs, create a plan of action, obtain timely market data to make calculated decisions, and keep your stress at a minimum while you buy and/or sell with confidence!
Also, January's data was adjusted following my previous post outlining the market information. So numbers were crunched on the corrected data for January. Without further adieu, here is your February data for Chesterfield, VA:
The average sales price of $287,428 in February 2020 took another monthly dip compared to January 2020 adjusted numbers, down 2.6%. However average sales prices were up 4.9% compared to February 2019.
New listings dropped to 662 in February 2020, down a mere 9.5% from January 2020 adjusted numbers. Number of new listings was up 2.4% compared to February 2019.
There were 980 homes for sale in February 2020, down 7.1% from January 2020 adjusted numbers. Number of homes for sale was down 13.8% compared to February 2019. RVA is still lacking homes on the market. Good ones don't last long!
There were 609 pending sales in February 2020, up 11.5% from January 2020 adjusted numbers. Number of pending sales was up 34.9% compared to February 2019. I'm feeling a theme here...
There were 393 closed sales in February 2020, up 8.8% from January 2020 adjusted numbers. Number of closed sales was up 13.9% compared to February 2019.
The average number of days on market was 42 days for February 2020, down 14.2% from January 2020 adjusted numbers. The average number of days on market was down 19.2% compared to February 2019.
Last month I claimed the following:
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.
Well.. I was wrong on the potential shift, I admit, as average number of days on market decreased!! Dodged a bullet there did ya? However, did I do that thing where the announcers in basketball games say the guy hasn't missed a shot and then he goes on to miss a whole bunch of them... Shortly after this post, fears of COVID-19 came to light. Interesting how my second part came to fruition in a way... No worries though, although the virus is causing some panic, it shouldn't hurt long term real estate, as the virus is expected to plateau as some point and then, you know, do what viruses do and go away. Also, there are plenty of ways to sell your home or buy a home without the need to put yourself in harms way.
Months supply of inventory dropped slightly to 1.7 months in February 2020, down from 1.9 months for January 2020 adjusted numbers. Months supply of inventory was down 19.0% compared to February 2019.
The list/sale price ratio was 96.6% in February 2020, down 0.7% from January 2020 adjusted numbers. The list/sale price ratio was down 1.1% compared to February 2019.
The average price per square foot was $135 in February 2020, up 1.5% from January 2020 adjusted numbers. The average price per square foot was up 5.4% compared to February 2019.
The dollar volume was $112,384,307 in February 2020, up 7.8% from January 2020 adjusted numbers. The dollar volume was up 20.0% compared to February 2019.
So with all this laid out, how do you think the market performed for the month of February? Interested in next month's data when we can see what type of effect COVID-19 had? Well stay tuned for that juiciness!
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 in your exact neighborhood. If you have any questions, please contact me to discuss these statistics and learn how additional data can help you moving forward.