Some numbers are good and some numbers are bad. So here goes….
Good indicators:
New listings on the market were UP by 15.5% which means that more listings are coming on the market
Average sale price is UP 12.5%. This is an amazing increase! It’s great to be a seller. If you have anything to sell, NOW is the time.
Sellers are receiving 100.5% of the asking price on average which means that buyers are paying the asking price and MORE than the asking price for property.
Bad indicators:
Sold listing are DOWN 8% . This is an indication that there was not as much inventory on the market this year as there was last year. Inventory was still shrinking.
Days on Market is DOWN a whopping 44.2% meaning that all homes are selling within hours or days of them going on the market.
We have .8 of a month for supply of homes on the market which is -55.6% change. Once again, there are more buyers than there is inventory.
The world is watching to see what will happen now that the eviction and foreclosure protection has been lifted. My prediction is that there will not be much change. As I have said in the video, one of my trusted mortgage lenders was on a national call where the representatives from FreddieMac and FannieMae made it very clear that there would be no bailouts for the banks. And they were encouraging the banks to do ‘whatever they can’ to keep people in their homes. Like adding months to the back end of the mortgage to cover missing payments or restructuring the loans to avoid foreclosure. And if foreclosures do start up again, we won’t see much of it for approximately another year because the foreclosure process takes time.
Welcome to the wacky world for real estate and the real estate statistics for February 2021! The past snow storms and the lack of inventory and the pandemic have taken their toll once again.
I invite you to watch my video below.
New Listings
New listings were down -28.5% over this time last year. The new listings on the market in 2021 was only 501 compared to last year’s number of 701.
Closed Sales
Completed or closed sales was down -11.7% . The number of closed sales for February 2021 was 416 compared to last year’s number of 471.
Days on Market
Days on Market (DOM) is a very important number because it tells us how quickly a home is going to sell. For February 2021 the DOM was 23 days! That’s down from 51 DOM last year. And that is a -54.9% change. It’s crazy how quickly a house is selling!
Average Sales Price
The average sales price has risen from $231,473 up to $269,989. That’s a +16.6% increase in prices. It is proof positive that because inventory levels are low and demand is high- that has a positive push on prices. They continue to go up and up!
% of List Price Received
This number tells us how much negotiating power a buyer has. And this number tells us how much a seller should expect to receive on the list price. Houses are selling for 100.4% of the list price. There have been multi offers on most every home and buyers are bing forced to pay list price or more for a property. Not much negotiating room.
Months Supply
When the housing market is level there is about 6 months supply of homes available to be sold. As the months of supply shrinks it becomes a “Sellers’ Market” and as that number of months increase, the market becomes a “Buyers’ Market”. We currently have .7 months supply of homes on the market! That’s another crazy number! It just proves that there is no inventory to buy so everyone is fighting over the same house. This time last year there were 1.7 months supply on the market. That change equates to a -58.8% change.
What This Means for YOU?!?!
If you’re a seller then you can expect to receive multiple offers for your home. You will sell at your list price or higher. And if you’re a buyer? You’ll need to be prepared with a pre-approval and the ability to make a quick decision. My suggestion……start to look at properties which are priced under your pre-approval amount. That way you can bid at list price or you can afford to overbid to be the winning offer.
It’s not an easy market for anyone in real estate; buyers, sellers and agents. You need to work with a professional who will help you get through the process without giving up all of your negotiating power.
If I can help you Sell, Buy or Invest in real estate, please give me a call. My number is 610-417-1174. I look forward to hearing from you!
It’s septic inspection day! Do you ever wonder where your poop goes?
Yes, a septic inspection matters! For a homeowner, you want to be sure that your septic system is in good working order. As a seller you want to be sure that your septic system is in good working order. And as a homebuyer, you don’t want to purchase a property without knowing that your poop is going to be disposed of properly. And the only way to know this is to have a septic inspection.
In this video you’ll learn about how septic systems work and you see a man being lowered into a poop tank! Stay tuned. I hope that his video will be fascinating for many of you.
A septic system is made up of a septic tank where all of the solids and liquids from a house go. The system also includes a distribution box as well as a leach field, or drain field. Septic systems are buried in the ground. The earth with its microorganisms and bacteria and earthly goodies play a big part in cleaning the wastewater from your dishwasher, washing machines, sinks and toilets before it returns to ground water.
During a septic inspection the drain field is located. They do this by inserting a long skinny rod into the earth and feel for the stones and the pipes in the drain field.
Once the field is found then they lift the lid of the septic tank. The upper part of the septic tank is inspected with mirrors to locate where the incoming pipe, the outgoing pipe, the condition of the rim of the tank, and the condition of the baffles or filters for the pipes.
Once the upper part of the tank is inspected, then it is time to empty it. Once it is emptied using the tanker the rest of the tank inspection can be performed. This part of the inspection looks for cracks and leaks and any other abnormalities in the system.
When the guys opened this lid during our inspection, the first thing that they said was that the level of the sewage was low which indicated that there was a leak in the tank somewhere. And yes, if there was smell-a-vision you would smell the strong stench of raw sewage everywhere.
Now the interesting part happens. One of the men (and they all have done this, everyone gets their turn) puts on a hazmat suit, gloves, facemask, boots, safety harness and gets lowered into the septic tank to find out where the problem is. He is also handed a camera at the end of a snake which is inserted into the outgoing pipe to find the distribution box.
There was a leak found at the outgoing pipe. And to fix it the distribution box had to be dug up. When they dug up the distribution box they found that the box was in bad shape so that had to be replaced too.
Now with all of the parts in working order, water is introduced into the system. It’s called a hydraulic load test. And the hydraulic load test will introduce water into the system that will replicate that of a normal household usage. The inspector returns the next day to see if all of the water that was introduced into the system and disbursed into the earth below or it is pooling and overflowing on top of the ground which would indicate another problem.
Septic systems are systems that must be maintained. Generally it is recommended that the homeowner have the septic tank emptied at least every two years. When a house is sold in PA the seller pays to have the tank emptied for the inspection. Remember it’s the homeowner’s poop and he should pay to have his own sewage hauled away.
This inspection was complicated because of its location in the house. But it also included someone being lowered into the tank which is very unusual!
If you have any other questions about septic inspections, please ask them below and I will get answers for you.
