When staring down upon the daunting data associted with the real estate market there are many things to consider. Average price, median price absorbtion on and on. The key is knowing what each one means and how it effects the others.
Take absorbtion for example this is the number of homes that were sold compared to the number that were available. (1000 active homes, 100 sell that month= 10% monthly absorbtion)
Absorbtion between 12-15% is considered a even market where homes sell near list price with well priced homes seeing multiple offers on occasion, selling days on market can go to months and years.
Absorbtion below 12% is a buyers market where homes typically sell for below the list price and multiple offer situations are rare.
Absorbtion above 15% is considered a sellers market where many homes sell in under 30 days for full list price or close to it.
In March of 2014 the absorbtion in the North Okanagan reached 16.3% nearly double march of 2013 this is the highest absorbtion rate we have seen since the spring/summer or 2008
What does all this mean you wonder?
Well when you factor in the high absorbtion with the economy, lower canadian dollar and low mortgage rates there ARE more buyers and should be more buyers on the market with this the inventory will begin to drop and we will see a demand created once again. This means prices should begin to rise this year in the North Okanagan.
SELLERS - Have you been waiting to sell your house but recieveing little to no activity? Here's your chance to get the best exposure to buyersthat we have had in 6 years. Will you get the record high prices of 2007? No! But you finally have the active market you have wanted if you are serious about needing to sell your house.
BUYERS - Waiting to see when the storm in over? How low will prices go you ask yourself. We may be looking at the bottom end of a recovering market as we speak. There will always be demand for desireable land like we have here in the Okanagan remember that people all over the world come here for a reason, it is a beautiful place to live. So don't get caught up in the thought that houses aren't as cheap as they are in the nevada desert. Real estate markets have always been local and will reemain to be. If you're sitting on the fence right now it might be time to spring to action. There has never been such an opportunity to borrow cheap money as right now, so don't wait fo it to be too late.
|Year||Month||Monthly Sales||New Monthly Listings||Current Inventory (Active)||Absorbtion||Days on market||Average Price||Median Price||Months Inventory|