Inventory Grows While Declines in Sales, New
Listings Soften
DENVER, Nov. 16,
2023 /PRNewswire/ -- Seasonal declines in home
sales and new listings softened in October while
inventory grew for a seventh consecutive month across the 53
metro areas surveyed.
Home sales dropped 4.6% from September to October, far less than
the 13.5% month-over-month drop in October
2022. New listings also declined 5.0%, which was also less
than half of the 11.1% drop from September to October last
year.
While there were 6.9% fewer homes on the market year over year,
October's inventory grew 4.6% month over month to continue a streak
of monthly increases that began in April.
The median sales price of $410,000
did not budge from September and remained 2.8% above October 2022.
"October had some encouraging signs – especially compared to a
year ago," said Nick Bailey,
President and CEO of RE/MAX, LLC. "Given the interest rate
environment, it was good to see the trend of monthly inventory
gains continuing, and prices appear to be stabilizing for the
moment. It remains a challenging market, but demand for homes is
still high – and buyers are gaining a little more leverage as time
goes on."
Agent Esther Clarke of RE/MAX
Associates in Salt Lake City says
it's a balancing act in her market. "New housing developments have
sprung up around the city, but regardless of how fast they're
built, the inventory can't keep up with demand. Homes that are in
good shape and priced right are selling quickly. And I think buyers
are starting to recognize the interest rates as the new
normal."
Other notable metrics:
- Homes sold in October were on the market an average of 36 days,
one day longer than in September 2023
or in October of last year.
- Homes sold for an average of 99% of the listing price in
October, the same as in both September
2023 and in October 2022.
- Months' supply of inventory in October was 2.3, larger than
September's 2.1 and the same as in October
2022.
Highlights and local market metrics for October include:
New Listings
Of the 53 metro areas surveyed in
October 2023, the number of newly
listed homes is down 5.0% compared to September 2023, and down 1.3% compared to October
2022. The markets with the biggest decrease in year-over-year
new listings percentage were Las Vegas,
NV at -17.6%, Seattle, WA
at -17.5%, and Indianapolis, IN at
-13.0%. The markets with the biggest year-over-year increase in new
listings percentage were San Francisco,
CA at +14.2%, Miami, FL at
+13.9, and Tampa, FL at
+13.6%.
New Listings:
5 Markets with the Biggest YoY Decrease
|
Market
|
Oct 2023
New Listings
|
Oct 2022
New Listings
|
Year-over-Year
% Change
|
Las Vegas,
NV
|
3,072
|
3,729
|
-17.6 %
|
Seattle, WA
|
3,607
|
4,374
|
-17.5 %
|
Indianapolis,
IN
|
2,717
|
3,124
|
-13.0 %
|
Detroit, MI
|
5,364
|
6,144
|
-12.7 %
|
Chicago, IL
|
10,579
|
11,984
|
-11.7 %
|
Closed Transactions
Of the 53 metro areas
surveyed in October 2023, the overall
number of home sales is down 4.6% compared to September 2023, and down 8.7% compared to October
2022. The markets with the biggest decrease in year-over-year
sales percentage were Dover, DE at
-26.9%, New Orleans, LA at -17.6%,
followed by a tie between Burlington,
VT and Trenton, NJ at
-15.9%. Only two markets had an increase in year-over-year sales
percentage, Salt Lake City, UT at
+13.4% and Milwaukee, WI at
+2.7%.
Closed
Transactions:
5 Markets with the Biggest YoY Decrease
|
Market
|
Oct 2023
Transactions
|
Oct 2022
Transactions
|
Year-over-Year
% Change
|
Dover, DE
|
177
|
242
|
-26.9 %
|
New Orleans,
LA
|
796
|
966
|
-17.6 %
|
Trenton, NJ
|
285
|
339
|
-15.9 %
|
Burlington,
VT
|
217
|
258
|
-15.9 %
|
Seattle, WA
|
3,454
|
4,089
|
-15.5 %
|
Median Sales Price – Median of 53 metro area prices
In
October 2023, the median of all 53
metro area sales prices was $410,000,
flat compared to September 2023, and
up 2.8% from October 2022. The markets with the biggest
year-over-year decrease in median sales price were Honolulu, HI at -4.1%, New Orleans, LA at -3.7%, followed by a tie
between Portland, OR and
San Antonio, TX at -1.9%. The
markets with the biggest year-over-year increase in median sales
price were Trenton, NJ at +18.6%,
Cleveland, OH at +12.5%, and
Hartford, CT at +11.5%.
Median Sales
Price:
5 Markets with the Biggest YoY Increase
|
Market
|
Oct 2023
Median Sales Price
|
Oct 2022
Median Sales Price
|
Year-over-Year
% Change
|
Trenton, NJ
|
$415,000
|
$350,000
|
+18.6 %
|
Cleveland,
OH
|
$225,000
|
$200,000
|
+12.5 %
|
Hartford, CT
|
$340,000
|
$305,000
|
+11.5 %
|
San Diego,
CA
|
$840,000
|
$764,000
|
+9.9 %
|
Manchester,
NH
|
$445,000
|
$410,000
|
+8.5 %
|
Close-to-List Price Ratio – Average of 53 metro area
prices
In October 2023, the
average close-to-list price ratio of all 53 metro areas in the
report was 99%, flat compared to both September 2023 and October
2022. The close-to-list price ratio is calculated by the
average value of the sales price divided by the list price for each
transaction. When the number is above 100%, the home closed for
more than the list price. If it's less than 100%, the home sold for
less than the list price. The metro areas with the lowest
close-to-list price ratio were Miami,
FL at 95%, followed by a tie between Bozeman, MT and New
Orleans, LA at 96%. The metro areas with the highest
close-to-list price ratios were Hartford,
CT at 104% and San Francisco,
CA at 103%.
Close-to-List Price
Ratio:
5 Markets with the Biggest YoY Increase
|
Market
|
Oct 2023
Close-to-List Price
Ratio
|
Oct 2022
Close-to-List Price
Ratio
|
Year-over-Year
Difference*
|
Trenton, NJ
|
102.4 %
|
100.2 %
|
+2.1 pp
|
Hartford, CT
|
103.9 %
|
101.8 %
|
+2.1 pp
|
San Francisco,
CA
|
102.9 %
|
100.9 %
|
+1.9 pp
|
Las Vegas,
NV
|
98.2 %
|
96.7 %
|
+1.5 pp
|
Detroit, MI
|
99.6 %
|
98.2 %
|
+1.4 pp
|
*Difference
displayed as change in percentage points
|
Days on Market – Average of 53 metro areas
The average
days on market for homes sold in October
2023 was 36, up one day compared to the average in both
September 2023 and October 2022. The metro areas with the lowest
days on market were Baltimore, MD
at 12, Washington, DC at 13, and
Philadelphia, PA at 15. The
highest days on market averages were in Coeur d'Alene, ID at 78,
Bozeman, MT at 77, and
Fayetteville, AR at 73.
Days on market is the number of days between when a home is
first listed in an MLS and a sales contract is signed.
Days on Market:
5 Markets with the Biggest YoY Increase
|
Market
|
Oct 2023
Days on Market
|
Oct 2022
Days on Market
|
Year-over-Year
% Change
|
Bozeman, MT
|
77
|
44
|
+73.4 %
|
Anchorage,
AK
|
44
|
27
|
+65.3 %
|
Coeur d'Alene,
ID
|
78
|
48
|
+61.9 %
|
New Orleans,
LA
|
60
|
38
|
+57.3 %
|
San Antonio,
TX
|
70
|
46
|
+51.1 %
|
Months' Supply of Inventory – Average of 53 metro
areas
The number of homes for sale in October 2023 was up 4.6% from September 2023 and down 6.9% from October 2022. Based on the rate of home sales in
October 2023, the months' supply of
inventory was 2.3, up compared 2.1 in September 2023, and flat compared October 2022. In October
2023, the markets with the lowest months' supply of
inventory were a two-way tie between Manchester, NH and Trenton, NJ at 0.9, followed by Seattle, WA at 1.0. The markets with the
highest months' supply of inventory were Bozeman, MT at 5.1, San Antonio, TX at 5.0, and New Orleans, LA at 4.4.
Months' Supply of
Inventory:
5 Markets with the Biggest YoY Decrease
|
Market
|
Oct 2023
Months' Supply
of Inventory
|
Oct 2022
Months' Supply
of Inventory
|
Year-over-Year
% Change
|
Coeur d'Alene,
ID
|
2.2
|
4.2
|
-47.2 %
|
Las Vegas,
NV
|
2.7
|
4.9
|
-45.0 %
|
Phoenix, AZ
|
2.7
|
4.8
|
-43.2 %
|
San Diego,
CA
|
1.7
|
2.3
|
-27.7 %
|
Salt Lake City,
UT
|
2.9
|
3.9
|
-26.1 %
|
About the RE/MAX Network
As one of the leading global
real estate franchisors, RE/MAX, LLC is a subsidiary of RE/MAX
Holdings (NYSE: RMAX) with more than 140,000 agents in over 9,000
offices and a presence in more than 110 countries and territories.
Nobody in the world sells more real estate than RE/MAX, as measured
by residential transaction sides. RE/MAX was founded in 1973 by
Dave and Gail Liniger, with an
innovative, entrepreneurial culture affording its agents and
franchisees the flexibility to operate their businesses with great
independence. RE/MAX agents have lived, worked and served in their
local communities for decades, raising millions of dollars every
year for Children's Miracle Network Hospitals® and other
charities. To learn more about RE/MAX, to search home listings or
find an agent in your community, please visit www.remax.com. For
the latest news about RE/MAX, please visit news.remax.com.
Report Details
The RE/MAX National Housing Report is
distributed monthly on or about the 15th. The Report is based on
MLS data for the stated month in 53 metropolitan areas, includes
single-family residential property types, and is not annualized.
For maximum representation, most of the largest metro areas in the
country are represented, and an attempt is made to include at least
one metro area in almost every state. Metro areas are defined by
the Core Based Statistical Areas (CBSAs) established by the U.S.
Office of Management and Budget.
Definitions
Closed Transactions are the total number
of closed residential transactions during the given month. Months
Supply of Inventory is the total number of residential properties
listed for sale at the end of the month (current inventory) divided
by the number of sales contracts signed (pending listings) during
the month. Where "pending" data is unavailable, an inferred pending
status is calculated using closed transactions. Days on Market is
the average number of days that pass from the time a property is
listed until the property goes under contract. Median Sales Price
for a metro area is the median sales price for closed transactions
in that metro area. The nationwide Median Sales Price is
calculated at the nationwide aggregate level using all sale prices
from the included metro areas. The Close-to-List Price Ratio
is the average value of the sales price divided by the list price
for each closed transaction.
MLS data is provided by Seventy3, LLC, a RE/MAX Holdings
company. While MLS data is believed to be reliable, it cannot be
guaranteed. MLS data is constantly being updated, making any
analysis a snapshot at a particular time. Every month, the previous
period's data is updated to ensure accuracy over time. Raw data
remains the intellectual property of each local MLS
organization.
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SOURCE RE/MAX, LLC