With the cooler temperatures outside, you would normally expect to see the real estate market cool off...but that is not what we saw this past month.
In October we saw 430 home sales, which is a super high number for this time of year. This is actually the same number of sales we saw in September.
Historically at this time of year, things begin to wind down, social activities begin, and the market starts to cool off. For example, in October of 2019, we only saw 307 home sales. So that means for this October we are up 41.5% in homes sales compared to last year.
We commonly hear from clients that they think they should wait until spring to get their home on the market...but we want to show you why we think December is actually a great month to sell your home.
To prove our point, we wanted to collect some historical, end of the year data...and after digging around a bit, we found a trend that we had to share.
We went back a few years, and decided to look at sales to listings ratios. Sales to Listing Ratios measure supply and demand by simply dividing the number of sales by the number of new listings. It is a good indicator of the speed at which homes are selling.
In 2017, the sales to listing ratio for the year was 38.9%, but in the month of December the sales to listing ratio jumps to 63.8%.
In 2018, the ratio was 41.7% for the year, but 52.7% in December.
In 2019, the ratio for the year was 46.5%, but then 67.2% in December.
When you average out those 3 years, you have an average sales to listing ratio for the year of 42.4%, but in December the average is 61.2%.
This means, over the last three years, December has provided homeowners a 18.8% greater chance to sell their home compared to the rest of the year.
In 2020, COVID-19 may impact the sales to listing ratio even more, as we’ve already seen that October was a very strong month. We may find that December proves to be once again a stellar month, and it could be a great opportunity to sell your home.
If you have a home to sell, there is still time to get your home on the market to take advantage of the December upswing. If you have any questions about this, or specifically about your home, we would be happy to go over everything with you.
Thanks and have a great November!