What it feels like.
We have a lot to be thankful for. The Woodlands real estate market is unique and strong. I imagine you’re noticing fresh For Sales signs in the neighborhoods. Even better, you’re seeing SOLD signs too.
Agents are walking faster and smiling. This means they are busy and activity is brisk. Last year the first quarter of 2010 was booming because of the Federal Tax Credit. This year, without the free money Tax Credit stimulation, sales in The Woodlands have been slightly less fizz, but very strong none the less.
Last year, after the Tax Credit expired (April 15th, 2010) sales and real estate activity swooned. For example, written sales in April of 2010 totaled 269. After the Tax Credit went bye-bye May 2010 sales plunged to 188. Gulp a 30% drop. That won’t happen this year. We expect that sales in May will rise above this years April total of 232 sales. Historically, except when we have real estate depressions, sales activity will rise each month through August. 2011 will be better than 2010 when all is said and done. Amen.
If you’re thinking of making a move, now would be the time to take advantage of very low mortgage rates. All the experts agree that mortgage rates will go higher before they go lower. Most likely we won’t see these low levels again.
Current indicators
I understand that the average person might be a bit skeptical about a real estate salesman’s (me) positive outlook. I can’t blame you. So here’s some empirical data to help support my view of things.
We use a Centralized Showing System to manage the coordination of Showing Appointment. One of the cool features about the system is the ability to track showing appointments (aka – buyer activity) across zip codes and price ranges. What we know is that when Showing Appointments grow, sales follow. As you can see from the picture below, Showing Appointments are growing. Sales will surely follow.
Another indicator is Months Supply of For Sale Inventory. Real estate economists believe that six months of For Sale Inventory represents a balanced market. Less that six months represents a Seller’s Market. More equals a Buyer’s Market. Take a look at this picture and draw your own conclusions. If you want a break down by Price Range – CLICK HERE.
How long it takes to sell a home is another real estate market strength indicator. If properties are well marketed, merchandised and priced, they’ll sell. Here’s what the trend in Average Days On Market looks like in The Woodlands TX.
And last but not least, we can get a feel for the future by looking at past Average and Median Sold Prices.
I know we’re bombarded by national media reports of worst case real estate markets, but thankfully, we don’t live in those places, we live in The Woodlands. In fact, there is no such thing as a National Real Estate Market, any more than there is a National Weather Report. Why would we care what homes are selling for or what what the weather is going to be like in Las Vegas, Miami or Detroit? The only thing that is relevant to you and I is the weather report (unless we’re traveling) and real estate market where we live, work and play. In fact, these numbers I’m sharing here only represent an average of a broad market – The Woodlands TX. If you’re thinking of making a move, you’ll want to ask your Realtor to run these kinds of reports for your specific neighborhood.
Take a look at the trend for the past two years. That trend line looks pretty sweet to me. How’s it looking to you?
In conclusion. . .
We’re blessed. If you’re thinking of making a move, now appears to be a safe time. If you’d like to preview the entire Real Estate Report you can CLICK HERE. If we can be helpful let me know – Ken Brand 832-797-1779.
PS. If you are thinking of making a move and you’re wondering who to choose, we’ve had some pretty good success helping our sellers net more money at closing. Check this out. . .
