Home Prices, Sales & Inventories- Single Family Homes, Feb 2013, Louisville KY

 

Tiny home in California, USA

The latest MLS Sales and Inventory Report for Single Family Homes located in eastern Jefferson County is shown below. Here is my summary of what has happened during the past year and where we are currently. (This report excludes condominiums/patio homes, which is covered in a separate post.)

 

1. Unit sales jumped in March 2012 and remained at an elevated level through November. February’s level of 326 was in line with January’s level of 325 and was slightly above last February’s sales of 315 units.

 

2. The average days on market (DOM) and cumulative days on market (CDOM) have trended down through November, but jumped significantly in December 2012 and January 2013. February’s levels dropped a bit to 67 and 94 days, which were significantly below the levels in January 2012 levels of 82 and 147 days, respectively. The annual average days on market for the 12 month period ended February 2013 were 67 days. (For the comparable 12 month period ended 2/28/2012, the annual DOM was 77.) 

 

3. The contract prices, when measured as a percentage of the list price, have ranged from 94.9% to 96.80%, with an annual average of 96.0%. These levels are typical for the Louisville market. (The annual average for the 12 month period ended 2/28/2012 was 95.0%.)

 

4. The current number of months of inventory on hand is calculated by dividing the current inventory level by the unit sales for that month. This measure trended down significantly from a 4.26 level in March to a low of 2.80 months in August. The average annual amount of 3.77 months was well below the comparable number for the 12 months ended on 2/28/2012 of 5.26 months.  A value below 6 indicates a shortage of listings and a market favorable to sellers. Based upon my experience, there is a current shortage of well maintained homes that are properly priced. The super low mortgage rates have been a boon for those buyers able to navigate the elevated lender qualification standards. Today’s low rates should continue or slowly increase during the next 12 months. It all depends on what the federal reserve does and the performance of our economy. If inflation and/or economic growth rises substantially interest rates will too. Mortgage rates have risen during the past quarter.

 

5. The average annual current inventory of 1784 units was well below the comparable number for the 12 month period ended 2/28/2012 of 2096 units. Please note that these current inventory levels reflect the actual number of “active” listings as of the 16th day of each month.

 

Stats for year ended 2-28-13

 

@homeslouky

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