West Savage active inventory is sliding rather than growing this spring - at now just 14% of what is typical for this time of year. This number is 10 percentage points lower than last month. For comparison, we pulled out our May 2012 West Savage Update and noticed that where this year
there are 4 active listings in West Savage, there were 10 last year at this same time, and back then, that number was low. This year only 2 listings are new as of the last 45 days, whereas last year, 5 were.
The housing shortage is not lost on buyers, who are growing frustrated and concerned by the lack of available homes to view. Sellers who need to move, however, have much to smile about with reduced competition and decreased market times.
The next logical question many ask is: How does this translate into pricing? Multiple offers are growing common. (The other day one of us was showing a house priced at $349,900 two hours after it hit the market, and there were four showings going on at the same time. By nightfall, there were three offers on the house. Pricing is inching upwards, but appraisals are still stringent. Agents
across the south metro are still seeing low appraisals from time to time. Pricing still needs to relate to the comps.
One of the most notable changes we are seeing is the movement of the $300K-$400K market, which was stagnant just two years ago. This market is currently experiencing rapid absorption. Yesterday we ran stats for a client: In 719 schools, there were only 3 single-family homes available for sale priced between $300K and $375K. It is clear our market needs quality homes in this price range. Families are waiting. If you or someone you know has considered selling your home, now is time to start the wheel in motion.
Our West Savage absorption rate is 1.01. That means if zero new homes come on the market, it will take 1.01 months to sell our existing inventory.