January 2008 Market Stats

Housing supply (Aborption Rate) is 14.4 months in January, up from last month by 4 months and up by 1 month during the same time last year. A "balanced market" rate is 5-6 months of listing inventory.

Looking back to 1990 through 2008 for the month of January, the sales level; dollar volume of sales and average sales price are at the 1996/1997 levels.

January 2009 sales were down 19.5% from January 2008. The average sale price was down 18.4%.

The active residential inventory continues to decline, down from 2008 and 2007 levels and almost equaling 2006...this is good. Inventory is being reduced, not only by sales, but also by properties being leased. It doesn't matter by which method, but just the result.

Important fact: The average sale price for January 2009 took a dramatic turn downward primarily due to the fact that almost 53% of the sales properties subject to lender approval (i.e. lender-owned properties, HUD homes and lender short sales, where seller owes the lender more than what property is selling for). The number of properties subject to lender approval in January 2008 was 40% and in January 2007 it was 29%.

While properties are still selling every day, we're still stressing to sellers to only put your property on the market if you have to sell. There's still too much inventory to compete with and it's all about supply and demand.