Home sales slowed slightly, but still above asking price

[GON]

16% of homes sold above list price in December, down slightly from last month’s 18%.

Interesting statistic, that tells me that softening in the single-family home market is likely to be for non desirable homes. Good homes more often than not still go under contract 24-48 hours after being listed for sale.

Of course, one has to define non desirable home for themselves. I am going to refrain from listing what I view as non desirable homes as some find it offensive.

From the article:
With supply still limited relative to demand, 16% of homes sold above list price, down slightly from last month’s 18% and flat from 16% a year ago:

• 53% of respondents reported that properties sold in less than one month. This is flat from a month ago (53%) and down from 56% one year ago.
• Homes listed received an average of 2.1 offers, flat from 2.1 last month and down from 2.4 one year ago.
• 28% of buyers had all-cash sales, up from 25% one month ago and essentially flat from 29% one year ago.
• Due to the lack of housing inventory, the pace of the market, and the use of technology, 5% of buyers purchased a home based only on a virtual tour, showing, or open house without physically seeing the home. While flat at 5% from one month ago, it is down from 9% one year ago.

https://www.nar.realtor/research-and-statistics/research-reports/realtors-confidence-index?

 

[JeffKeryk]

Yeah, inventory is tight is the in-demand locations. I just jumped on a studio condo and feel I did reasonably well. If and when I sell it, it will need a face lift.

 

[ls1mike]

It is crazy here in Wa. I paid 295,000 for my house in 2010. It now worth about 750,000 to 780,000

 

[SeaJay]

By me, homes are sitting with asking prices lower than they were in the first half of 2022. Lots of reductions also.

 

[JeffKeryk]

It is crazy here in Wa. I paid 295,000 for my house in 2010. It now worth about 750,000 to 780,000

My niece is an exec at Microsoft. She got tired of losing out on home bids so she bid $100K over asking price.

 

[ls1mike]

My niece is an exec at Microsoft. She got tired of losing out on home bids so she bid $100K over asking price.

It is reality here, young people cannot afford it

 

[SC Maintenance]

2024 sales volume was the lowest since like 1995 not even adjusting for population. So 16% of a very small number presumably.

There is always a hot market somewhere. Even though the overall market here is slow, anything on or near the peninsula usually sells before anyone puts out a sign. In the rest of the area there moving very, very slowly here - at reduced prices

 

[alarmguy]

Our daughter is experiencing this currently. Homes selling above asking price on the last house, glad she didnt make an offer. sold at 20% higher asking in Virginia.
Currently has an offer on a for sale by owner who recently cut the price, so she made an offer AND still offered above asking price and they are dragging their feet and have not accepted. PS. she is well qualified.

Meanwhile she is moving forward and looking at more homes. For sale by owners are a wild card, some are good and some make no sense and some dont really want to sell. Some buyers know this and why by owner is a tough sell at times.

 

[SwampSurvivor]

We're in the process of selling my mom's house. If we can get her moved out of it.
For her sake, I'm hoping the market remains a sellers market for a bit longer.

But I'm sure someone will want a sub-$100K house. Even if it needs a lot of work. The realtor says it has "good bones" - but I know that's not true.

 

[The motor guy]

Houses in the Houston area are on the market probably 6 months or more before selling.

 

[GON]

Houses in the Houston area are on the market probably 6 months or more before selling.

What is your definition of on the market. Days from listing to closing, or days from listing to going under contract, or something else?

This is what a Google search on the Houston market returned:

In December 2024, Houston home prices were up 8.3% compared to last year, selling for a median price of $355K. On average, homes in Houston sell after 50 days on the market compared to 42 days last year. There were 1,575 homes sold in December this year, down from 1,584 last year.

 

[The motor guy]

What is your definition of on the market. Days from listing to closing, or days from listing to going under contract, or something else?

This is what a Google search on the Houston market returned:

In December 2024, Houston home prices were up 8.3% compared to last year, selling for a median price of $355K. On average, homes in Houston sell after 50 days on the market compared to 42 days last year. There were 1,575 homes sold in December this year, down from 1,584 last year.

From days to listing until under contract. I maintain houses that are for sale. Used to be about 2 months from the time I saw the for sale sign to the time they said I wasn't needed. Now we're 6-9 months before that point.

 

[zzyzzx]

When the middle class has largely dropped out of the housing market and it's only expensive houses that are selling, sure the average selling price goes up.

 

[The motor guy]

When the middle class has largely dropped out of the housing market and it's only expensive houses that are selling, sure the average selling price goes up.

These are middle class homes. $300-400k

 

[thastinger]

These are middle class homes. $300-400k

The cities love it, drunk on property tax money.

 

[The motor guy]

The cities love it, drunk on property tax money.

Yeah, I know. For years there was always a big gap between appraised value and actual market price. Now the appraised value is the same as the market price. I believe the appraised value is supposed to be what the property is actually worth material wise.

 

[TimeFlies]

Not here.
Most places sit for months before selling, and for less than asking.

 

[The motor guy]

Not here.
Most places sit for months before selling, and for less than asking.

Yep. That good times have come and gone.

 

[alarmguy]

The housing market is alive and well. On a national basis sales are strong and up for 2024.
Our country is a huge mass of land, so of course local areas will have differing statistics.
The market is strong, where I live in North Carolina and very strong where my daughter is currently looking at homes in Virginia

Being she’s just starting out as a young adult and in her price range the market is on fire.
She just got an accepted offer by offering slightly above the asking price. The house before this one that she was interested in sold 15% above asking.

National Association of realtors also indicates the sales increase. You could click on the link and go through the information yourself if you’re interested.
With the increase in interest rates prices haven’t really gone down, but they are stable now.
https://www.nar.realtor/research-and-statistics/housing-statistics/existing-home-sales

Don’t misunderstand my post. All strong markets come to an end sooner or later, but this market is far far far away from coming to an end.
Let’s not forget it wasn’t that long ago that the entire world economic system was closed down due to Covid.