Market Conditions in 78028>Question Details

Joe Cash,  in Kerrville, TX

Does it seem as though the market is picking up ?

Asked by Joe Cash, Kerrville, TX Thu Sep 2, 2010

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Joe,
In some respects. (How's that for a "waffling" answer?)

As we all know, real estate markets are local, So, I can only speak about my area (east central coast of Florida). What we have here is increasing sales and falling prices. The year-over-year sales have been increasing each month for about a year and a half. However, one of the reasons the sales are increasing is that the prices have been continuing to fall, and have been for five years now.

Not only did the falling prices begin around five years ago here, but at that same time, I remember noticing that the inventory had become flat. It didn't increase, but it didn't decrease either. The inventory remained the same until early last year, when it finally started to drop.

Now that the tax credit incentives are gone, it's anyone's guess what will happen next.

All the best,
Maggie Hawk, REALTOR
(386) 314-1149
Watson Realty Corp.
1 vote Thank Flag Link Thu Sep 2, 2010
November 14, 2012: Currently there are 23 sales pending in the market overall, leaving 513 listings still for sale. The resulting pending ratio is 4.3% (23 divided by 536). So you might be asking yourself, that's great... but what exactly does it mean? I'm glad you asked! The pending ratio indicates the supply & demand of the market. Specifically, a high ratio means that listings are in demand and quickly going to contract. Alternatively, a low ratio means there are not enough qualified buyers for the existing supply. Taking a closer look, we notice that the $150K - $200K price range has a relatively large number of contracts pending sale. We also notice that the $150K - $200K price range has a relatively large inventory of properties for sale at 82 listings. The average list price (or asking price) for all properties in this market is $337,735.

A total of 214 contracts have closed in the last 6 months with an average sold price of $191,758. Breaking it down, we notice that the $100K - $150K price range contains the highest number of sold listings. Alternatively, a total of 298 listings have failed to sell in that same period of time. Listings may fail to sell for many reasons such as being priced too high, having been inadequately marketed, the property was in poor condition, or perhaps the owner had second thoughts about selling at this particular time. The $100K - $150K price range has the highest number of off-market listings at 57 properties.

You might be wondering why average days on market (DOM) is important. This is a useful measurement because it can help us to determine whether we are in a buyer's market (indicated by high DOM), or a seller's market (indicated by low DOM). Active listings (properties for sale) have been on the market for an average of 163 days. Analysis of sold properties for the last six months reveals an average sold price of $191,758 and 147 days on market. Properties in the $0K - $50K price range have sold quickest over the last six months. The average sold price for the last 30 days was $175,648 with an average DOM of 134 days. Since the recent DOM is less than the average DOM for the last 6 months, it is a positive indicator for demand. It is always important to realize that real estate markets can fluctuate due to many factors, including shifting interest rates, the economy, or seasonal changes.

The average list-to-sales ratio for this area is 93.7%. Ratios are simple ways to express the difference between two values such as list price and sold price. In our case, we typically use the list-to-sale ratio to determine the percentage of the final list price that the buyer ultimately paid. It is a very common method to help buyers decide how much to offer on a property. Analysis of the absorption rate indicates an inventory of 14.4 months based on the last 6 months of sales. This estimate is often used to determine how long it would take to sell off the current inventory of properties if all conditions remained the same. It is significant to mention that this estimate does not take into consideration any additional properties that will come onto the market in the future.
1 vote Thank Flag Link Wed Nov 14, 2012
Yes. I have been very busy lately. Are you interested in buying or selling? Most of what is selling is properties with motivated sellers and the prices and terms are reasonable. I just sold a nice 3/2 on a creek for $99,000 CASH. There are estate sales, foreclosures, short sales, etc. This also causes some of the other properties to be more negotiable. I have a 3/1 getting a makeover including interior paint and all tile flooring on a corner lot for $84,500 and the Seller will pay up to $4500 of the Buyer's closing costs. Call me to see how I can help you. Bonnie L. Waller with Sherman & Co., Realtors 830-739-3911
1 vote Thank Flag Link Thu Sep 13, 2012
Joe,
2010 has definitely been better than 2009 in Dallas/Fort Worth. But, we know that other parts of the country are still not doing as well. And, their continued sluggishness stalls us out in some areas. Demand for leasing is still high, and I don't see that going away for at least another 2-3 years.

Lending is still way too tight, and good people who should be able to get a home loan are being asked to come up inordinate amounts of cash in order to qualify. And, some lenders don't want to be targeted for denying home loans, so they just tie the loan processing up in Underwriting and ask questions until the buyer goes somewhere else. It's left us a little gun-shy, to say the least. Better - yes. Back to where the agents may actually be able to predict the outcome of a home loan application? Not even.

Thanks for asking. Have a blessed day!
Ronda
1 vote Thank Flag Link Sun Sep 5, 2010
Joe,

From July of 2009 to July of 2010 I had my best year ever. It has slowed a bit since July for me, but I'm not losing hope. I have five listings, four buyers, I am about to sign a two new listings and have a buyer agency appointment tomorrow. It is really anybody's guess right now, but I'm going with YES!

Linda
Web Reference: http://www.lindacefalu.com
1 vote Thank Flag Link Thu Sep 2, 2010
I'm looking at the screen and puzzling over what to write - I think I'll settle on "I hope so!". Quite sincerely, I am very uncertain - hopeful and working like a dog each and every day, but I just don't know. The economic uncertainty is not helping - plus the typical end of summer slowdown - I'm hoping that buyers become energized after Labor Day.

...will watch with interest for other comments.

Best,
Jeanne Feenick
Unwavering Commitment to Service
Web Reference: http://www.feenick.com
1 vote Thank Flag Link Thu Sep 2, 2010
For 2013 (January 1 thru June 30, 2013) 1st half...the Kerrville MLS shows 461 Total sold properties.

For 2014 (January 1 thru June 30, 2014) 1st half...the Kerrville MLS shows 507 Total sold properties.

Todays date is 7/29/2014 so I figured I would show first half of this year compared to fist half of last year.

Yes I believe the market is picking up, and the prices seem to be on a slight upward trend.

Great news.

Thanks,
Chris Griffin
America Homes and Ranches
830-459-5263
0 votes Thank Flag Link Tue Jul 29, 2014
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