The following is a comparison between the first three quarters of this year to the same time period from 2015. We will also give a specific breakdown of sales by price points and offer our commentary.
ALL SALES – JANUARY – SEPTEMBER
Year # of Homes Sold Ave. Sales Price Sales Price/List Price
2016 259 $326,259 96.54%
2015 249 $304,842 96.57%
THIRD QUARTER SALES
2016 93 $347,030 96.48%
2015 121 $301,844 95.64%
LUXURY HOMES YTD ( sale price over $500,000 )
2016 43 $663,796
2015 27 $640,820
PRICE POINT BREAKDOWN OF ALL 2016 SALES YTD Through 9/30/16 ( 2015 sales in parenthesis )
Under $100,000 = 4 ( 4 )
$100,000-199,999 = 63 ( 66 )
$200,000-299,999 = 81 ( 76 )
$300,000-399,999 = 46 ( 41 )
$400,000-499,999 = 22 ( 33 )
$500,000-599,999= 15 ( 11 )
$600,000-699,000 = 17 (7 )
$700,000-799,000 = 9 (8 )
$800,000-899,000 = 1 ( 0 )
$900,000-999,999 = 0 ( 1 )
$1,000,000 + = 1 ( 0 )
To begin, here is what we wrote after the end of June during our half year market update:
While 2015 was a very good year, 2016 is shaping up to be even better.
Below is a list of 5 things to take away from the end of the second quarter:
1. More homes sales in 2016 vs. 2015.
2. Average sales price is up slightly in 2016.
3. The $200,000-299,999 price point is the “hot” market in 2016.
4. A well priced home will receive approximately 96% of asking price.
5. The luxury market is more active in 2016, especially in the $600,000-699,000 price range.
Upon review of third quarter figures, most of the things above still hold true. However, overall sales were down significantly in the third quarter of this year.
While there was still the usual rush for buyers to close before the start of school, the early start to the school year caused third quarter sales to occur earlier in the cycle. Take a look at these sales figures:
SALES 2016 2015
June – 52 35
July – 36 48
Aug – 41 39
Sept – 16 34
The number of sales during the peak buying season was similar, but the distribution or timing happened early in this years’ cycle.
Buyers seemed more aware and prepared to take action sooner rather than later. Typically, buyers snatch up houses at the last minute, well into July and even August, but not this summer. After July 1 this year, the market came to a halt, which is evidenced by the dismal September sales figures above.
The 2016 real estate market has been fantastic this year up to this point but we have seen things slow down during the end of the third quarter.
The good news is that things picked up significantly after Labor Day with buyers looking to complete transactions before the weather gets bad. We expect November and December to be solid months for closings as a result of the increased activity in September and now into October.
Sellers who lost out on the summer market will need to position themselves competitively or their homes will sit on the market during the slow winter months.
Properly priced homes are consistently selling for, on average, approximately 96% of list price and we don’t see that changing.
The only wild card is the upcoming Presidential election. Will it affect rates, at least in the short term? Will it dramatically affect stocks, which in turn influences buying confidence?
No one knows, but to be safe, it may be wise to get under contract before Nov. 8th.
Below Are Other Articles Of Interest Relating To Solon OH:
The above information is compliments of The Schuman Team, Amy and Dan, of Howard Hanna Real Estate Services. They are Solon residents and specialize in Solon luxury homes, relocation, and first-time buyers.
They can be reached at 216-346-3235 or 216-403-9189 or via email, firstname.lastname@example.org or email@example.com.
The Schumans service the following Cleveland area suburbs: Aurora, Bainbridge, Bay Village, Beachwood, Bentleyville, Chagrin Falls, Cleveland Heights, Gates Mills, Highland Heights, Hunting Valley, Lakewood, Lyndhurst, Mayfield Heights, Mayfield Village, Moreland Hills, Oakwood Village, Orange, Pepper Pike, Shaker Heights, Solon, South Euclid, University Heights, Westlake, Woodmere.
Solon Ohio Real Estate 3rd Quarter Market Report 2016 is the property of The Schuman Team and may not be duplicated or used without their written consent.©Oct. 2016