Many people (from around the country) continue to make claims about what their market is doing. What we know is that the numbers that show us our current sales and current active listings, along with properties under contract, indicate the most accurate information for our real estate market. With over a year of providing clients with this information, we stay ahead of the curve and prepare ourselves for buyers.
We head fast into the Fall with a great start. Our number of active listings continue to stay about the same, while are sales figures drive our inventory numbers down. With a dramatic drop in the entire market and specifically our residential numbers, we have high hopes for 2010. Why do I refer to 2010, instead of the fall for this year?
Our market has begun the recovery process, some areas are doing much better than others, but we are beginning to enter our winter market, which sees a decrease in the number of sales. We are expecting our inventory numbers (Absorption Rate) to decrease through much of the Fall and some of the Winter, but we all know that Winter sales can only sustain the market to a certain point over the winter months. That means that we can anticipate a great start to the Spring, as well as a great Summer in 2010. Until that time, I promise you I will continue to use the most active marketing techniques to drive “buyers eyes” to your property. I expect a great Fall and a growing market this Winter as we move forward.
**For more information regarding our current Absorption Rate, please feel free to email me or call me.
Regards,
Marc White
Marketing Specialist, ABR, GRI, ePro
Broker/REALTOR
Direct 828-406-2134
To see property listed on our website, PLEASE CLICK HERE Thank You for allowing me the opportunity to serve you.
Absorption Rate: Again, I want to emphasize the use of the Absorption Rate versus the “normal” Days on Market approach. The days on market approach (especially for our area) changes so randomly that there are no actual predictors to show whether the market is getting better or worse. The days on market approach at the end of the year (December 31, 2009) will be at a high, while on January 15, 2010 it will be at a very small number. The reason; our days on market is for each specific listing, not each property. If you change your listing price and sign a NEW agreement, in most cases the agent has the opportunity to create a new listing, rather than keeping the listing as “older”; meaning your days on market has now started over. Absorption rate erases most of the errors that are caused by this fluctuation in time and listings. It is not exact and it requires much more work on an agent’s part to provide you with this information, but at the end of the day, the effort is truly worth the expense.
*Another way to think of Absorption Rate is “Inventory”. In the automobile industry, dealerships try to keep a 75-90 day supply on-site. There are many reasons they use these numbers, which we don’t need to get into, but the information helps us to understand the Absorption Rate for our real estate industry.
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