In the real estate market, there are several key metrics that can give us valuable insights into the current state of affairs. These metrics include the Months Supply of Inventory, the 12-Month Change in Months of Inventory, the Median Days Homes are On the Market, the List to Sold Price Percentage, and the Median Sold Price. Let's examine the correlation between these metrics and what it means for both buyers and sellers.

 

First, let's take a look at the Months Supply of Inventory, which is currently at 1.31. This metric tells us how long it would take for all the current listings in the market to be sold, given the current sales pace. A lower number indicates a seller's market, where demand exceeds supply. So, with a months supply of inventory at 1.31, we can conclude that it is a seller's market. Sellers can expect a higher level of demand for their properties, giving them more negotiating power.

 

Next, let's consider the 12-Month Change in Months of Inventory, which stands at -22.94%. This metric shows us the percentage change in the months supply of inventory compared to the previous year. A negative value indicates a decrease in inventory, which further strengthens the seller's market. With a decline of almost 23%, we can see that the inventory has significantly decreased over the past year. This reduction in supply puts sellers in an even more advantageous position as competition intensifies among buyers.

 

Moving on, the Median Days Homes are On the Market is 30. This metric provides us with an understanding of how long it takes, on average, for a home to be sold after being listed. With a relatively low median of 30 days, it suggests that properties are selling quickly. This information is crucial for sellers as it indicates a high demand and a sense of urgency among buyers. Buyers, on the other hand, need to act swiftly and be prepared to make competitive offers.

 

Now, let's delve into the List to Sold Price Percentage, which currently stands at 97%. This metric reveals the percentage of the final selling price compared to the initial listing price. A higher percentage indicates that homes are selling close to or at the asking price. In this case, with a percentage of 97%, we can infer that sellers are receiving offers that are very close to their listing price. This is encouraging for sellers as it suggests that they have a good chance of achieving their desired selling price.

 

Lastly, we have the Median Sold Price, which is currently at $410,000. This metric provides us with the midpoint of all the sold prices in the market. It gives both buyers and sellers an idea of the average price range they can expect. With a median sold price of $410,000, buyers can use this information to evaluate whether the market aligns with their budget. Sellers, on the other hand, can compare their property's price to the median to gauge its competitiveness.

 

In conclusion, the correlation between these real estate metrics paints a picture of a strong seller's market. The low Months Supply of Inventory, coupled with a significant decrease in inventory over the past year, indicates a high demand for properties. With homes selling quickly and close to their listing price, sellers have the advantage in negotiations. However, buyers should be prepared to act promptly and make competitive offers. The median sold price of $410,000 provides an average price range for buyers and sellers to consider. Overall, it is an exciting time for both buyers and sellers in this thriving real estate market.