It’s a new month and a new year so how did December’s market perform and what does that mean for January and 2021?
Through the last few months of 2020, we saw the market slow down a bit (here’s our November update). Houses are on the market for just a little over a month now and the lower inventory continues into the new year.
In the 200-299k price point (this is the average price in Oakland County!), houses are sitting for just a little over a month. That doesn’t mean that the market is at a standstill, homes are going fast and a lot are seeing multiple offer situations and over-asking offers.
Compared to December 2019, the market was still moving better in December of 2020. We can see that while the speed of the market is starting to taper off from the whirlwind 3rd quarter of 2020, the market is still favorable. This trend looks to continue in January and hopefully throughout the new year.
Par for course, 2020 was a year of low inventory which favored sellers and led to lots of multiple offer scenarios for stressed buyers. From December 2019, we are experiencing a 48.5% decrease in active listings. Despite the low numbers, the market is still favoring sellers and buyers are putting their best offers forward. If you are looking for help in either selling or buying, we would be happy to advise!
The list to sale price ratio is another indicator that the market is taking a breather. December 2020 saw a slight decrease of 0.06% from the previous month. However, 2019 was a month for buyers as their offers were accepted. Now that 2021 is here, keep an eye on the list to sale price ratio statistic (it’s a great market mood indicator)!
(P.S. houses sell year-round so nothing to worry about if you sell outside of spring, even during the holidays!)
The market is cooling, but fear not! Homes are being listed and sold in usually about a month right now. In December 2020, sales increased by 20.2%! That’s 249 more homes sold than in December 2019. Not even the holidays can throw a wrench in real estate!
The December market had confirmed that the pace is slowing a bit. It did, however, see a great increase in sales and relatively low days on market numbers.
If you would like to see how your home would perform in the current market, we’re always happy to advise and put together a market analysis. Simply reach out here: Contact Us.
Statistic Disclaimer: We’ve interpreted the current market data as reported by our Multiple Listing Service and CoreLogic.