By Chad & Sara Huebener
Progress is certainly being made in our marketplace. We can chalk it up to either the typical happenings in a spring market, or perhaps a more positive outlook on our economy…. regardless, what we are seeing is pretty positive stuff.
West Savage is seeing more listings come on the market, more pending transactions, and more closed sales. Current listings and new listings have increased as those needing or wanting to sell take advantage of the increase in showing activity that spring market tends to bring. And rightly so, as pending sales have increased 67% since last month and sold listings have tripled. Prices, however, continue to fall, as foreclosures, short sales, and lengthy market times drive down prices.
Savage as a whole has seen a modest overall increase in inventory. Single family inventory has increased while townhouse inventory has dropped. Perhaps this is due to the First-Time Homebuyer Tax Credit, as townhomes are rapidly being scooped off the market. Scott County, too, is seeing a slight increase in inventory.
Our West Savage absorption rate has dropped to 8.11 months. This means that if zero new homes come on the market, it will take 8.11 months to sell the existing inventory. Fortunately, this number is falling, as we are seeing signs of returning to a more balanced market. Although we do not expect to see appreciation again for a number of years, signs of a balanced market on the horizon provide peace of mind for some. We hope these indications prove to be correct.
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