Lincoln, NE Real Estate Market Report
5
REAL ESTATE MARKET REPORT LINCOLN May 2011 TABLE OF CONTENTS Market Dashboard…………………………….. Pages 1-2 Number For Sale vs. Under Contract Number Sold vs. Expired Days On Market (Sold vs. Expired) Sold Listings - Prices (Last 6 Months) Sold Listings - Days On Market (Last 6 Months) Market Summary Table……………………… .. Page 3 Glossary…………………….………………….. Page 4 S M T W T F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31
description
Lincoln, NE Real Estate Market Report for May 1, 2011 courtesy of The Ryan Ford Home Selling Team with Prudential Ambassador Real Estate.
Transcript of Lincoln, NE Real Estate Market Report
REAL ESTATE MARKET REPORT
LINCOLN
May
2011
Su M T ThW F Sa
1
8
15
22
29
36
2
16
23
9
30
37
3 4 5 6 7
10 11 12 13 14
17 18 19 20 21
24 25 26 27 28
31 32 33 34 35
38 39 40 41 42
TABLE OF CONTENTS
Market Dashboard…………………………….. Pages 1-2Number For Sale vs. Under ContractNumber Sold vs. ExpiredDays On Market (Sold vs. Expired)Sold Listings - Prices (Last 6 Months)Sold Listings - Days On Market (Last 6 Months)
Market Summary Table……………………… .. Page 3
Glossary…………………….………………….. Page 4
S M T W T F S1 2 3 4 5 6 7
8 9 10 11 12 13 14
15 16 17 18 19 20 21
22 23 24 25 26 27 28
29 30 31
REAL ESTATE MARKET REPORT
LINCOLN
Sunday May 1st, 2011
at the real estate market. Currentlythere are 499 sales pending in themarket overall, leaving 1,401 listingsstill for sale. The resulting pendingratio is 26.3% (499 divided by 1,900).So you might be asking yourself, that’sgreat… but what exactly does it mean?I’m glad you asked!
Typically, a pending ratio indicatesthe supply and demand of themarket. Specifically, a high ratiomeans that listings are in demandand quickly going to contract.Alternatively, a low ratio meansthere are not enough qualifiedbuyers for the existing supply.
“The current inventory can best bedescribed as mildly active.”
Taking a closer look, we notice thatthe $125K - $150K price range has arelatively large number of contractspending sale.
We also notice that the $100K -$125K price range has a relativelylarge inventory of properties for saleat 214 listings. The average list price(or asking price) for all properties inthis market is $196,691.
Let’s take a look
0
2 0
4 0
6 0
8 0
1 0 0
1 2 0
1 4 0
1 6 0
Contracts Pending For Sale
0
20
40
60
80
100
120
140
160
A total of 1,039 contracts have closed in the last 6months with an average sold price of $152,732.Breaking it down, we notice that the $125K - $150Kprice range contains the highest number of soldlistings.
Alternatively, a total of 667 listings have expired inthat same period of time. Listings may expire formany reasons such as being priced too high, havingbeen adequately marketed, the property was in poorcondition, or perhaps the owner had secondthoughts about selling at this particular time. The$75K - $100K price range has the highest numberof expired listings at 112 properties.
Market Dashboard1
SoldExpired
0
25
50
75
100
125
150
175
200
0
2 5
5 0
7 5
1 0 0
1 2 5
1 5 0
1 7 5
2 0 0
2 2 5
0
2 5
5 0
7 5
1 0 0
1 2 5
1 5 0
1 7 5
2 0 0
2 2 5
Number of Listings For Sale vs. Under ContractLincoln
0
25
50
75
100
125
150
175
200
Number of Sold vs Expired (Last 6 Mos.)Lincoln
50
55
60
65
70
75
556065707580859095
REAL ESTATE MARKET REPORT
LINCOLN
Sunday May 1st, 2011
Looking at the chart to the right, youmight be wondering why average dayson market (DOM) is important. Thisis a useful measurement because it canhelp us to determine whether we are ina buyer’s market (indicated by highDOM), or a seller’s market (indicatedby low DOM). Active listings, orproperties for sale, have been on themarket for an average of 89 days.
Analysis of sold properties for the last6 months reveals an average sold priceof $152,732 and 77 days on market.Notice that properties in the $225K -$250K price range have sold quickestover the last six months.
The recent history of sales can be seenin the two charts below. The averagesold price for the last 30 days was$155,705 with an average DOM of 82days.
Since the recent DOM is greater thanthe average DOM for the last 6months, it is a negative indicator fordemand. It is always important torealize that the real estate market canfluctuate due to many factors,including shifting interest rates, theeconomy, or seasonal changes.
“The average list-to-sales ratio forthis area is 96.4%.”
Ratios are simple ways to expressthe difference between two valuessuch as list price and sold price. Inour case, we typically use the list-to-sale ratio to determine thepercentage of the final list price thatthe buyer ultimately paid. It is a verycommon method to help buyersdecide how much to offer on aproperty.
Analysis of the absorption rateindicates an inventory of 8.1 monthsbased on the last 6 months of sales.This estimate is often used todetermine how long it would take tosell off the current inventory oflistings if all conditions remained thesame. It is significant to mention thatthis estimate does not take intoconsideration any additionalproperties that will come on themarket in the future.
Continue to Market Summary Table…
Market Dashboard2
140000
150000
160000
170000
50
55
60
65
70
75
$140K
$150K
$160K
$170K
0
20
40
60
80
100
120
140
160
0
20
40
60
80
100
120
140
160
ActiveSold
556065707580859095
Average Days On Market (Sold)Lincoln
$140K
$150K
$160K
$170K
Average Sold PricesLincoln
0
20
40
60
80
100
120
140
160
0
20
40
60
80
100
120
140
160
Average Days On Market (DOM)Lincoln
Expired Listings (Last 6 Months)*
REAL ESTATE MARKET REPORT
LINCOLN
Sunday May 1st, 2011
Market Summary Table3
Absorption Rate
Price Range TotalNum
AvgDOM
AvgList Price
TotalNum
PendingRatio
TotalNum
TotalNum
AvgDOM
AvgList Price
AvgSold Price
List toSales
No. ofMosMin. Max.
$75,000 $99,999 201 92 $88,114 67 25.0% 112 127 79 $94,242 $88,780 94.2% 9.5
$100,000 $124,999 214 79 $114,432 87 28.9% 111 188 74 $117,634 $113,057 96.1% 6.8
$125,000 $149,999 208 81 $136,438 95 31.4% 109 194 79 $140,178 $136,557 97.4% 6.4
$150,000 $174,999 129 91 $163,038 44 25.4% 76 107 63 $164,874 $160,006 97.0% 7.2
$175,000 $199,999 106 111 $186,562 36 25.4% 42 73 77 $191,958 $185,593 96.7% 8.7
$200,000 $224,999 77 64 $213,522 23 23.0% 23 58 103 $218,050 $212,213 97.3% 8.0
$225,000 $249,999 60 58 $237,207 17 22.1% 21 34 56 $245,114 $237,242 96.8% 10.6
$250,000 $274,999 28 60 $264,064 16 36.4% 11 26 58 $268,569 $261,948 97.5% 6.5
$275,000 $299,999 53 77 $289,665 22 29.3% 23 33 76 $292,472 $287,347 98.2% 9.6
$300,000 $324,999 24 68 $314,163 16 40.0% 14 9 102 $327,017 $309,138 94.5% 16.0
$325,000 $349,999 33 78 $340,244 7 17.5% 14 16 111 $344,150 $334,434 97.2% 12.4
$350,000 $374,999 29 148 $363,222 3 9.4% 9 11 84 $371,711 $360,990 97.1% 15.8
$375,000 $399,999 28 131 $393,222 5 15.2% 9 10 88 $395,310 $384,282 97.2% 16.8
$400,000 $424,999 10 94 $414,603 1 9.1% 4 3 81 $419,533 $404,507 96.4% 20.0
$425,000 $449,999 12 56 $438,098 2 14.3% 7 5 89 $461,460 $439,600 95.3% 14.4
$450,000 MAX 82 133 $673,527 11 11.8% 28 11 105 $601,955 $564,886 93.8% 44.7
Market Summary>> 1,401 89 $196,691 499 26.3% 667 1,039 77 $158,509 $152,732 96.4% 8.1
4 Weeks Prior>>
Properties Sold (Last 6 Months)*Contracts Pending
Properties For Sale
Dates: 11/01/2010 - 5/01/2011 Data believed to be accurate but not guaranteed.
REAL ESTATE MARKET REPORT
LINCOLN
Sunday May 1st, 2011
Glossary4
1. PROPERTIES FOR SALENumber Active: The number of listings for sale which are currently being marketed but do not yet have apurchase agreement.
a.
b. Average Days On Market (DOM): The average marketing period of currently active listings. This does notaccount for some listings which have had a previous listing period, but were re-entered as a new listing.
c. Average List Price: The average price that a seller is currently asking.
2. CONTRACTS PENDINGa. Number Pending: The number of current listings for which a contract has been signed but has not yet
closed.b. Pending Ratio: Sometimes called a “list to pending ratio”. This is a measure of how fast properties are
going under contract vs. how fast they are being listed.
Pending Ratio= P(Number of Pending Listings)A+P(Number of Active + Pending)
(P) represents properties that buyers have chosen(A+P) represents the entire pool from which they have chosen
3. EXPIRED LISTINGSa. Number Expired: The number of listing agreements that have expired in the last 6 months. Some owners
may choose to re-offer their property for sale.
4. PROPERTIES SOLDa. Number Sold: The number of properties that have gone to a closing in the last 6 months.
b. Average Days On Market (DOM): The average marketing time it has taken to sell in the last 6 months.
c. Average Original List Price: The average price at which a sold property was originally marketed.
d. Average List Price: The average price at which a sold property was marketed just prior to selling.e. Average Sold Price: The average price for which a property sold.f. List to Sales Ratio: The percentage of the list price that the buyer ultimately paid for the property.
List to Sales Ratio= Average Sold PriceAverage List Price
5. OTHERAbsorption Rate/Months of Inventory: An estimate of how fast listings are currently selling measured inmonths. For example, if 100 properties sell per month and there are 800 properties for sale - there is an 8month supply of inventory before counting the additional properties that will come on the market.
a.
