What is Month’s Supply in Real Estate Statistics

Posted by I Love Murphy on

In Murphy NC and real estate markets all over the United States,  “Month’s Supply” is a term used to determine what kind of real estate market a property is in. It makes more sense when you see it calculated, so here’s the formula:

Number of Homes for Sale / Homes Sold in a Month = Months Supply

This tells you “if not another home was listed, how long would it take to sell what’s actively on the market?” The answer that comes from the formula tells you all sorts of things, and one specific benchmark is if the # is greater than 12 months, it’s generally a buyer’s market. If it’s less than 12 months, it’s generally a seller’s market.

In our monthly SOLD Real Estate Update, our absorption report takes it miles further by not only calculating the market as a whole, but individual price categories as well over the past month, 3 months, 6 months, and 12 months so you can determine trends, emerging markets, and more!

Email me NOW to join our Murphy NC Real Estate Update – for Free! Get our Exclusive Absorption Report and insight each month – along with the ability to see every house and piece of land that sold! Pictures, details, and more of each property are included.

The Poltrock Team – www.MyMurphy.com – JohnPoltrock@gmail.com – Call Us Toll-Free at 1-866-Murphy-NC or 1-866-687-7496

The Poltrock Team’s SOLD Real Estate Market Update for Murphy NC – Mid January 2010 Edition

Posted by I Love Murphy on

Holy cow it’s hard to believe it’s already 2010 and January is flying by. With that said, there’s lots of great things going on in Murphy NC real estate right now. In fact, for number nerds out there like me, you’ll love this edition of our real estate market update. For those of you who want the information quick and conveniently, I’ll give you a fast summary before I get to all the dirty details of what happened. As always, you’ll be able to click the links below to see what real estate has sold, for how much, pictures, and much more!

2009 has proven to be a great year for improvements here in Cherokee County. In fact, 2009 has all the indicators that the market is improving and is doing all the right things. I’ll follow with more detail later, but overall in comparison with 2008, 2009 had more sales, properties sold faster, and the amount of properties available for sale was less. These three items are absolutely essential to stabilizing a real estate market, and that’s exactly what has happened. I believe with every bone in my body than 2010 will be even better than 2009. I’m expecting great things.

You must be a subscriber of The POLTROCK TEAM’s
Murphy NC Bi-Weekly Real Estate Update to get the Link to
the sold properties for January 2010 and December 2010.
See sold prices, pictures, and descriptions of what’s sold!
Email John at JohnPoltrock@gmail.com and join our SOLD Update for Free!
 
 
Now on to the facts of the real estate market – no fluff, no bull, just facts. Forget what you hear on the radio, watch on the TV, or read on 2010 - Year of Growth!!!the internet. Here’s statistical facts of what happened in 2009 vs. 2008.

Residential Properties (Homes)

  • Sales increased every single quarter excluding Q1 (first quarter). In fact Q4 (fourth quarter, and so forth) saw an astounding increase in value of 53% over 2008! That’s impressive by anyone’s standards and indicates buyers are becoming more willing to buy, which is the most important factor.
  • The supply of homes decreased every single quarter across the board. The less supply there is on the market, the more demand will go up.
  • Days on Market for sold properties decreased in every quarter, which means homes sold faster than in 2008.
  • Average Home Selling Prices decreased every quarter. The average price of homes selling in Cherokee County fell every quarter indicating prices have fallen and buyer’s price bracket/comfort zone has shifted lower in 2009.
  • The list to sale price ratio held steady. The average home sold for 90-92% of list price in 2008 and 2009. This is a solid number when many real estate markets across the country fell significantly below our range.

Land

  • Volume had mixed results. Half the year was up from 2008 in number of transactions, half the year was down. Q1 represented the worst quarter in land transactions we’ve seen averaging a mere 7 transactions per month. Once Q2 hit, transactions jumped back into double digits with similar results the rest of the year.
  • Like homes, the supply of land decreased every single quarter across the board. The less supply there is on the market, the more demand will go up.
  • Again like homes, the Average Land Selling Prices decreased every quarter. The average price of land selling in Cherokee County fell every quarter indicating prices have fallen, and for land, they have. There are more than 2,000 parcels of land for sale in Cherokee County, and prices must be aggressive to get them sold.
  • The Average Days on Market fell in every quarter except Q3. We believe this was caused because of land prices falling and property owners realizing the trend dropped some prices and caused buyers to snatch them up faster than before. This is a great thing – they’re selling!

We also have completed the Market Absorption Report, and to get your free copy, you have to join our free Market Update via email! It’s chock full of market information, so email me at JohnPoltrock@gmail.com to join and get your free copy.

January has only 4 sales recorded on the MLS system as of today. With that said, I know there is a lot of real estate pending right now. Every RE/MAX Realtor in Murphy is experiencing quite a busy month. There’s a lot of people planning to come in the Spring! Right now we are doing a lot of prospecting to get them here so they can find the property they want to buy. There’s a lot of buyers on the sidelines looking to get in to the market!

For all of you who helped make 2009 a great year, Thank You. Without you, our business doesn’t exist. I know 2010 will be an outstanding year and am looking forward to it. In fact we’ve set our goals at twice that of 2009 – a rather lofty undertaking. We will do it and with your help! If there’s anything we can do for you, or if you have any referrals who need real estate help, please give us a call. As you know, we’re never too busy for your business.

Poltrock Team at REMAX Murphy NC Logo

Murphy’s #1 Real Estate Team

Contact us Today! Toll-Free 1-866-687-7496 – JohnPoltrock@gmail.com – www.MyMurphy.com

Read Our Past Murphy NC Real Estate Market Updates

September – Best Month for Real Estate Sales in Murphy NC

Posted by I Love Murphy on

Wow! It’s hard to believe that it’s October already! There are so many things going on in the world of real estate right now – which is great! It seems like it’s been forever since the last Bi-Weekly update. Since we began this column in Murphy’s newspaper – The Cherokee Scout – it threw a curve ball in the “release” of our update. We’re working on getting that in sync now, so please pardon the delay.

October brings several wonderful things! Be sure to remember The RE/MAX Client Appreciation Picnic is next Saturday from 4-8! BE SURE TO COME!!! If you think you can make it and haven’t confirmed already, please let us know – we’d love to have you!
 
Fall appears as its going to be early this year, so be sure to enjoy while its here!
 september
On to real estate! September was a tremendous month. It proved to be the best September in the past 3 years. An astounding 63 properties sold in a one month period – and by anyones calculations – two per day is phenomenal! Also not reflected in these sold properties, United Community Bank (UCB) did an online auction that yielded quite a few sold properties – lots sold from a mere $2,000 to $8,000 in several instances.
 

You must be a subscriber of The POLTROCK TEAM’s
Bi-Weekly Real Estate Update to get the Link to
the sold properties for the past 14 Days.
See sold prices, pictures, and descriptions of what’s sold!
Email John at JohnPoltrock@gmail.com and join our SOLD Update!

 

 
SOLD Home Statistics in Murphy NC for September
(40 listings)
  Low High Average Median Total
List Price $40,000 $299,900 $172,424 $165,000 $6,896,950
Selling Price $40,000 $300,000 $152,836 $143,500 $6,113,432
List/Sold(%) 59.93% 100.09% 88.44% 89.78% —
Price/SqFt ($) $0.00 $146.34 $43.22 $0.00 —
Days on Market 16 701 233 175 —
 
 
SOLD Land in Murphy NC Statistics
(23 listings)
  Low High Average Median Total
List Price $12,500 $215,000 $60,691 $39,900 $1,395,900
Selling Price $10,000 $185,000 $51,447 $29,100 $1,183,270
List/Sold(%) 37.93% 209.80% 83.63% 81.08% —
Days on Market 113 648 301 190 —
 
Note the interesting phenomena on the lowest SOLD percentage of list price – Land reached as low as 38% of list and homes as low as 60% indicating some steep discounts (or high overpricing) on homes sold. There’s a direct relation between over pricing a home in today’s market and an extreme high time on market. In fact, the high time on market was an astonishing 701 days! If you don’t want to have an extended time on market like this, ensuring your home is priced competitively in the market is of the utmost importance. If you want a review of your property to see if any adjustments are necessary, give us a call or email and we’ll do the work for you.
We have seen a lot of offers thrown out there – in fact The Poltrock Team alone closed 13 transaction sides in September. We’re still seeing some of the Offers to Purchase come in extremely low and did not fly – we had offers as low as 33% of listing price. This was what I call a “Vulture” offer – folks offering ridiculous offers to see what they could get away with. Even with this happening, most of our buyers realize value even today, and that is perfectly indicative of the market. In fact the highest list to sell ratio was 100.09% of asking price – this means someone paid slightly more than asking price to ensure they bought the property.
 
Real estate is currently on the rise! Keep your fingers crossed and say your prayers for consumer confidence to continue to rise and for people to buy homes and land in the mountains of Murphy, NC!
 
As always, we thank you for the opportunity to work for you. We work hard every day and work 60+ hours per week for our clients and would love to work for you and your real estate referrals.
 
If you have any questions or anything we can do for you, please CONTACT US! Thank you for your business and trust. If you know of anyone looking to buy or sell real estate anywhere in the United States, please give us their name and number and we will take care of them to make certain they get the best service no matter where they are.
Written By: John Poltrock, Certified Residential Specialist – www.MyMurphy.com – The POLTROCK TEAM at REMAX Mountain Properties – Murphy’s #1 Real Estate Team – Contact us Today Toll Free 1-866-687-7496
 
Read previous editions of our Murphy NC Real Estate Market Update and Report.

The Poltrock Team’s Bi-Weekly SOLD Real Estate Update for Murphy NC – August 2009 Edition

Posted by I Love Murphy on

Back to school! Even my daughter is excited to be back to school at Murphy Elementary – which is a true blessing! Schools are starting all over the United States, and as a result, folks are busy. Parents and grandparents alike are busy getting their children back into the “grind.” Every year, we see a drop in new buyers coming in for 2-4 weeks during August when schools are starting back.

Even with the “Back to School” effect, the past two weeks in the real estate market have been HUGELY impressive in Murphy NC! In the past 14 days, an astronomical TWENTY-SIX properties went under contract and are currently pending totaling upwards of $4.1 million in potential real estate transactions. Coupled with the 19 properties that have sold and closed in the past 14 days, which makes for a great August when over $2.7 million is already closed in a two week period.

Over the past month, the average selling price of a home has been fluctuating from $130,253 to $148,068. July yielded the highest average selling price at $188,683. With all this being said, it makes sense that 61% of our market activity has been on properties priced $175,000 and under. With that said, we’re seeing two “holes” in the real estate inventory where supply is dwindling.

  • Properties priced at less than $100,000 are selling very well – so well in fact that supply has dropped more than 36% in the past 12 months.
  • Properties priced from $125,000 to $150,000 have benefited from a 38.3% reduction in inventory in the past year.

Interestingly enough, our new system also finds developing demand as well as price points that do not have active buyers. For example, the price range of $300,000 – $325,000 has had no demand in the past year, indicating a need for homes in those ranges to get under $300,000, which is a significantly more active price range.

Land is another category that needs attention. In the first quarter of 2009, there seemed to be no buyers searching for land. In fact, it was the lowest land sales ever since July of 2002! With that being said, we had nowhere to go but up! Sales volume in land has literally more than doubled since then and Realtors are experiencing more land buyers than we’ve had this entire year. Sales have largely been attributed to tracts less than three acres. In fact, they account for 70% of the transactions and 55% of total land dollar volume.

You must be a subscriber of The POLTROCK TEAM’s
Bi-Weekly Real Estate Update to get the Link to
the sold properties for the past 14 Days.
See sold prices, pictures, and descriptions of what’s sold!
Email John at JohnPoltrock@gmail.com and join our SOLD Update!

Sold Home Statistics
(17 listings)

Low

High

Average

Median

Total

List Price

$69,900

$479,000

$205,666

$164,800

$3,496,325

Selling Price

$59,000

$475,000

$185,235

$160,000

$3,149,000

List/Sold(%)

79.81%

104.46%

90.21%

88.93%

–

Price/SqFt ($)

$0.00

$218.25

$91.10

$106.91

–

Days on Market

45

670

255

168

–

Sold Land Statistics
(6 listings)

Low

High

Average

Median

Total

List Price

$14,900

$218,020

$91,043

$48,525

$546,260

Selling Price

$11,100

$218,020

$108,337

$110,000

$650,020

List/Sold(%)

74.50%

318.69%

127.58%

91.47%

–

Days on Market

22

497

242

255

–

2009 is an exciting year for real estate and we look forward to a continually growing market. August has been a great month and we will continue to work for more to come! We appreciate your business very much, and if there’s anything we can do to help you or someone you know, please let us know! We’re in business because of you.

Written and researched by John Poltrock of The Poltrock Team at RE/MAX Mountain Properties can be reached at 877-837-3002 or by email at JohnPoltrock@gmail.com – You can read a summarized version of this article in the business section Murphy’s #1 Newspaper – The Cherokee Scout.

You can read previous editions of the Murphy NC Real Estate Market Solds and Update by Clicking Here

Sold Real Estate Market Update for Murphy NC – Homes and Land

Posted by I Love Murphy on

This month’s real estate update should be rather enlightening, especially since we are applying new approach to tracking the market. We hope that in addition to traditional statistics, this method will help us identify trends and find “holes” in the markets. To top it off, we’ve been working to have our Bi-Weekly Update published in the Cherokee Scout, Murphy’s leading newspaper. We hope to have this edition published in next week’s paper, so keep an eye out for it!

             The real estate market here in Murphy NC has been showing some strong underlying fundamentals while some elements many people consider “important” have declined. Here’s what that means: most people look to prices and volume of real estate to determine how strong a market is. While both are very important elements, others are equally important and never discussed. When the market began to shift, one of the key indicators it was happening were the Days on Market. Days on market for homes has evidently peaked out spiking as high as 309 days this year alone. Those have been trending downward significantly and have entered the 100 day range several times this year – in fact, this past month’s average has been a mere 177 days to sell a home.

            Volume has been holding steady with first quarter average sales being 17 sales per month and second quarter bringing 21 per month. During this third quarter, we’re currently at 19 sales per month, so the market is continuing to hold ground on volume. This is a great sign! It indicates we’re leveling off and buyers are continuing to hold faith – and they should!

            Price is often one of the most important issues people deal with in the real estate market. Although very important to buyers and sellers alike, it is not a key issue statistically as supply and demand reign supreme and ultimately determines the price of a home. It is of the utmost importance for your property when selling it to pay attention to the laws of supply and demand. It determines the amount of showing activity which in turn can determine contract activity. Generally, you should be averaging between 8-12 showings in a 45-60 day period, and if you’re not, the market is likely indicating your property is overpriced. If you feel your property might be experiencing this issue, please let us know and we will tackle this issue head on to find out what the concern is and correct it. 

You must be a subscriber of The POLTROCK TEAM’s
Bi-Weekly Real Estate Update to get the Link to
the sold properties for the past 14 Days.
See sold prices, pictures, and descriptions of what’s sold!
Email John at JohnPoltrock@gmail.com and join our SOLD Update!

We continue to work harder than ever to get your property the proper exposure and get it sold. We’ve found more success and sales even in this market because we strive to expose your property to the world so buyers can find it and to make you the most appealing and competitive property in the market. We are thankful for the opportunity to serve you and are there to help you in any way we can! Please email or call us if you have any questions or if we can do something to help you.

 With that said, we wish you a wonderful weekend. If we can help you or someone you know with their real estate needs, it will be a privilege for us to serve them. We’d love to take great care of them and thank you for all your referrals.