If you’ve been reading my blogs you know there are four key, objective indicators for real estate. Whether you’re a buyer or a seller, you should know what these indicators are predicting for future home prices.
You’ve also heard the expression, “All real estate is LOCAL”. What this means is that, for the individual home owner or home buyer, national or state-wide real estate statistics aren’t as important as statistics for a specific TOWN.
Here are those 4 key statistics for Manalapan:
Find out what's happening in Manalapanwith free, real-time updates from Patch.
January 1 – November Manalapan single-family Homes:
Find out what's happening in Manalapanwith free, real-time updates from Patch.
Sales were up 15% (283 in 2013 compared to 247 in 2012)
Listings were down 12% (116 at the end of November 2013 compared to 132)
The median sales price was up 6% ($466,000 in 2013 vs. $439,000 in 2012)
The real estate absorption rate was much shorter (4.2 months in 2013 vs. 6.8 months in 2013)
If you’re not a “numbers person”, all this information may seem a bit overwhelming. I’d be glad to sit down and go over it with you- no obligation, of course.
All the data predict higher selling prices in the next year. When sales go up it indicates that demand has increased, and prices go up. When there are fewer homes to choose from, sellers have fewer reasons to negotiate and prices go up. When the median sales price (the price at which 50% of the homes sold for more and 50% sold for less) goes up, prices tend to go up.
Finally, the real estate absorption rate (the calculated time, in months, it would take to sell ALL of the current listings, assuming that homes continue to sell at the rate they have for the past 12 months. This calculation includes both supply (listings) and demand (sales). A year ago the absorption rate was 6.8 months, and now it’s down to 4.2 months. An absorption rate of between 5 and 7 months is considered a “normal market”, and less than 5 months is considered a “seller’s market”. November is the 3rd month in a row where Manalapan’s absorption rate has been less than 5 months.
If you’re a Manalapan home owner, it’s good to have this kind of information, even if you’re not thinking of selling your home. I love to provide home owners with monthly updates about the local real estate market, and if this interests you, I’d be gad to add you to my mailing list.
If there does come a time when you’re thinking of putting your home on the market, please let me be one of the REALTORS® you interview. Let me tell you how I’d plan to market your Manalapan home so that it sells for the highest price in the shortest period of time.
Call, text or email me!
Len
Leonard “Len” Dunikoski, GRI
REALTOR® Associate
Diane Turton Realtors – Rumson Office
8 West River Road
Rumson, NJ 07760
