How's the market?
How's the market? It's the one question we seem to be hearing over and over again. The market can typically fluctuate within three types of market conditions:
1. Seller's Market
2. Buyer's Market
3. Normal or Balanced Market
And a good indicator of market conditions is to interpret the number of months of listing inventory.
This is arrived by taking the total number of listings on the market, and divide that by the average number of sales per month. This will give you the number of months of inventory.
4-6 months is a Seller's Market, 6-8 months indicates Balanced and 8-10 months equals a Buyer's Market.
Looking at the information available on Cambridge we see that there are currently 497 active listings and that we were averaging 70 sales over the last 2 months. This gives us 7.1 months of inventory, indicating that we are currently in a balanced market.
Markets shift all the time, making it necessary to stay current on the factors affecting these numbers. Send me an email at szabolcs.pall@century21.ca for more information.
Are You Ready 2 Move?
Posted by Szabolcs Pall
on December 1, 2008