2012 First Quarter Real Estate Market in the Chathams

For the first quarter of 2012, a total of 34 units sold in the Chatham real estate market. Single family homes were the largest segment of the market. March property sales were six, up 20 percent from five in March of 2011 and 100 percent higher than the three sales in February. March 2012 sales were at their highest level compared to March of 2011 and 2010. March YTD sales of 14 are running -22.2 percent behind last year's year-to-date sales of 18.

The median sales price in March was $548,500, down -22.2 percent from $705,000 in March of 2011 and up 10.8 percent from $495,000 in February. The average sales price in March was $624,375, down -16.2 percent from $745,000 in March of 2011 and up 20.5 percent from $518,333 in February. March ASP was at a mid range compared to March of 2011 and 2010. The total inventory of properties available for sale as of March was 37, up 12.1 percent from 33 in February and up 8.8 percent from 34 in March of last year. A comparatively lower MSI (number of months needed to sell the entire inventory at the monthly sales pace) is more beneficial for sellers while a higher MSI is better for buyers. The March MSI of 6.2 months was at its lowest level compared with March of 2011 and 2010.

The average days on market (DOM) shows how many days the average property is on the market before it sells. An upward trend in DOM tends to indicate a move towards more of a buyer's market, a downward trend a move towards more of a seller's market. The DOM for March was 81, down -41.3 percent from 138 days in February and up 179.3 percent from 29 days in March of last year.

The selling price vs. original listing price reveals the average amount that sellers are agreeing to come down from their original list price. The lower the ratio is below 100 percent the more of a buyer's market exists, a ratio at or above 100 percent indicates more of a seller's market. The March selling price vs. original list price of 94.3 percent was down from 96.8 percent last month and down from 99.2 percent in March of last year. The number of new listings in March was 17, equal to 17 in February and down -5.6 percent from 18 in March 2011.

For those who want to put their home on the market, but have been hesitant, waiting for prices to increase, or buyers to appear, this could be an incredibly advantageous time to finally make their move. For those who have lived in their home for some time and have built equity, selling this spring could be especially beneficial.

For those homes currently listed, we are seeing movement. We are also seeing examples of multiple buyers for properties who have entered into bidding wars, ultimately driving the sale price upwards. Bidding wars typically take place when a home is priced competitively. With limited competition in the market, with a home that is priced accordingly, just imagine the possibilities.

If you are thinking of placing your home on the market and are not quite sure if it’s the right time for you, feel free to request a complete competitive market analysis, which reviews competing homes currently on the market, and inventory levels specific to your locale and price point. Now is not the time to wait if you want to list your home.

There is a window of opportunity here and it is uncertain how long that window will remain open. Until it closes, let's keep the fresh spring air flowing in.