Well…SOMETHING is happening.
There are currently 11 bank-owned homes on the market in Winston Trails. That is the highest number I’ve seen at any one time in Winston Trails.
But the one number that stands out the most is the total number of homes on the market in Winston Trails…46! There has not been that many homes on the market at any time in the last 4 years.
Now is that bad news or good news? Well, if you’re a buyer, obviously more homes on the market is good news. And, if you’re a seller, after quite a few years of depressed home values, the prices in Winston Trails have risen enough for more sellers to be able to “get out from under’ without the help of a short sale.
But, accurate analysis of real estate data is rarely as easy as just stating numbers.
Lets start by looking at the bank-owned homes: In the past…even the recent past, banks strategy was to “price it low, get multiple offers quickly, take the best one”.
When we dive in to the numbers behind the current Winston Trails market, it reveals this:
- The trailing six month average selling price/square ft. for bank-owned homes was $125/sq. ft. and the asking prices for these bank-owned homes was $127/sq. ft.. A very tight range.
- The current asking price for bank-owned homes is $131/sq. ft.. Will the market support this increase?
So, is the high number of bank-owned homes on the market a result of these homes languishing because they are overpriced? I think so.
With the increase in inventory I believe the bank owned properties eventual selling prices/sq. ft. will remain at the $125 point and could very possibly decline somewhat.
Now lets look at all of the regular, non-bank-owned properties:
- The trailing six month average selling price/square ft. for NON bank-owned homes was $137/sq. ft. and the asking prices for these NON bank-owned homes was $141/sq. ft.. Also a very tight range.
- But now, the current asking price for NON bank-owned homes is $155/sq. ft.. That’s a BIG jump, (a 10% jump), especially big in conjunction with the big jump in homes on the market. Will the market support this increase?
Like I said, information without insight and analysis is worthless. It could be that there are a lot of smaller homes currently on the market that are on premium lots with pools…that would skew the $/sq. ft. upward. We’ll revisit this in 4 months or so and see how the jump in asking prices per sq. ft. and the increase in inventory as well as foreclosures has played out.
If you like to discuss your current goals and situation, give me a call directly at 561.602.1258
Thanks for reading…Steve Jackson
