Typically, a real estate market is defined by supply and demand. Levels of available inventory often are used to indicate where the “leverage” lies. One to four weeks of inventory in the measured area, for the measured time frame, indicates a “Seller’s market,” as inventory levels are low and demand is high. Five to seven weeks of inventory indicates a “balanced” market, in that neither the buyers or sellers have any real advantage due to supply and demand. Eight weeks of inventory and up indicates that the measured area is a “buyer’s market,” as the levels of supply exceed the demand, putting the leverage back in the buyer’s hands.
I state the “measured area,” because it can change from one neighborhood to the next, or one town to the next. I ran Riverbank’s numbers today, using data I mined from the local MLS…here’s what it tells me:
*There are currently 42 active listings in Riverbank.
*Over the past 90 days, 53 homes were sold, or 17.66/month.
*That indicates that if we’re using the 90 day history, we have 2.38 months of inventory currently.
*However, it’s the Spring selling season, so I wanted to see the trend for the past 30 days, which shows a different picture:
*24 homes were sold in the past 30 days, reducing the inventory metric to 1.75 months of inventory.
Sellers have the leverage, folks. if you’re thinking of selling, NOW is the time. Rates are low, inventory levels are low…it won’t get any better for you than this.
If you want to see how these numbers look in your specific neighborhood, call me and I’ll run them for you.