#of Sales Down, Inventory Down, Prices UP!

I have some market news I’d like to share with you.

Market Profile Report – Reno/Sparks 

Let’s review the Reno-Sparks real estate market, comparing month over month activity from October to November 2017, and comparing year-over-year to November 2016.

Christy Klingler. Realtor

DOW_21477

Call. Text. 775.750.5492

Email: cklingler@dicksonrealty.com

Web: https://renosparksinfo.com  &

http://christy.klingler.dicksonrealty.com

 

 

 

Preparing for a Mortgage Pre-approval

Applying for a mortgage and getting through the approval process can be stressful.  To strengthen your approval, minimize the amount of paperwork you will be required to provide in the end, and make the process smoother, have the following paperwork ready when you apply:

  • Employment and address history for at least 2 years for you and your co-borrower.  Include:
    • Employer
    • Dates
    • Job titles
  • Address history for at least 2 years for you and your co-borrower.  Include:
    • The property address
    • The dates you lived there
  • 30 days of pay stubs – all borrowers
  • Last 2 years of filed tax returns
  • You’ll need to complete your lender’s credit authorization form
  • 2 months of bank statements, all borrowers, all pages (checking, savings and any other account you are using for down payment and closing costs)
  • Last 2 years of corporate tax returns if you own more than 25% of a business
  • Bankruptcy filing paperwork (if you’ve had a bankruptcy within 7 years)
  • Divorce settlement and decree, if applicable

Moving To Reno – Sparks – Tahoe?

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Find information on buying a home, from loan types, to available listings.  Our team can help!

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Online Relocation Guide

Download a relocation guide about our area here!  To request a printed and bound copy, please reach out and use our contact form or find us at the email or phone number listed at the bottom of this link.

Prices are Up Again, # of Homes for Sale Dips…

I have some market news to share with you.

Actives vs Solds – Reno/Sparks, NV

Active vs Sold Reno Sparks

Click to enlarge the graph

If this was a typical year, we would expect activity in the Reno/Sparks area for Single Family homes to cool off slightly in the last quarter of the year. However, continued strong demand and the constrained inventory of affordable homes continues to drive a Seller’s market in many price ranges and neighborhoods. Let’s take a look at the details.

There were 783 homes available for purchase at the end of November. This a decrease of 18.7% when compared to October, and down a staggering 43% when compared to this time last year. Next, we will look at the number of units sold.

Reno/Sparks area REALTORS sold 519 single family homes in November, which was a decrease of 6% compared to October. There was also a decrease in sales of 3.4% when compared to November of last year. Until more homes appear on the market, the limited inventory will continue to affect the number of sales.

So, let’s take a look at how the demand and sales activity impacted median price and average days on market.

The median sold price for single family homes in Reno/Sparks increased 2.7 percent, to $355,000 in November. This is exactly the same median price as we had at the peak of the summer selling season in July. While the month over month increase is slight, the better indicator of market performance is the year over year analysis. In November 2016, our median price was $310,000. That’s an increase in our regional median price of 14.5% since November of last year.

Average Days on Market for homes sold in November decreased slightly, from 89 days in October to 86 days. Normally, Days on Market would increase during this time of year. Last November, the Average Days on Market was 97 days. This demonstrates further that there is continued demand for homes, but the constrained inventory is inhibiting the number of sales and escalating the prices.

Why should this information matter to you? If you want to purchase a home in a fast-moving market such as ours, you will want to be sure to work closely with me and your lender to be pre-qualified before looking at homes. If you’re a seller that is concerned about putting your home on the market during the holidays, I hope these statistics will put you at ease. Demand is strong, and there is little competition in many neighborhoods and price ranges. Whether you are considering a move up, across town or to downsize, now is the best time for us to speak about your options.

 

Christy Klingler. Realtor

DOW_21477

Call. Text. 775.750.5492

Email: cklingler@dicksonrealty.com

Web: https://renosparksinfo.com  &

http://christy.klingler.dicksonrealty.com

Where are Prices Headed?

I have some market news I’d like to share with you.

Market Report – Inventory and Percent of Sales – Reno/Sparks

Let’s take a look at the Reno/Sparks housing inventory and year to date sales statistics by price range. Demand for affordable housing in Reno-Sparks is high, and supply is low. This creates a challenging environment for home buyers and sellers alike. Here are the details:

As of November 27th, there were 821 homes on the market that were Active and Available for purchase. This is 17% fewer homes than the 990 on the market at the end of October and a staggering 38% fewer than the 1,321 homes on the market at this time last year. Only 64% or 525 of the homes on the market today have asking prices under $600,000. In November 2016, 75% of available listings were under $600,000. About 15% of the homes on the market today have asking prices below $300,000, while 32% of available homes in November 2016 were asking $300,000 or below. It is most definitely a Seller’s Market in these price ranges, which makes it difficult for Buyer’s to purchase.

Now, let’s talk about absorption rate by price range. The Absorption Rate, or Days of Available Inventory, is the amount of time it would take to sell off existing homes for sale if no additional homes came onto the market.

As expected, the strong seller’s market in prices below $600,000 often means multiple or competing offers in some neighborhoods. For homes priced below $300,000, we have only 12 days of inventory, emphasizing the great need for more affordable homes in the market. For homes in the range of $300,000-$600,000, available inventory is 44 days, or about 1.5 months. If you own a home in either of these price ranges, it is a great time to sell with little competition. It is also an excellent time to consider moving up to a higher priced home where more inventory is available.

With an inventory of 4 months, the $600,001 to $900,000 price range represents a more balanced market between buyers and sellers, but still remains in seller’s market territory like the lower price ranges. Once asking prices move above $900,000, the market begins a shift to favor the buyer. The months of inventory is 9 months for properties in the $900,000 to $1,500,000 range. For homes priced over $1,500,000, we have a 26 month or just over 2 year supply.

It is good to remember that The National Association of REALTORS® considers 5 to 6 months of inventory a healthy market, where neither buyers nor sellers have a distinct advantage.

The typically strong summer selling season is continuing well into fall, and we are on track for a record breaking year for the number of sales. Let’s take a look at the Percentage of Sales by price range.

91.7% of all sales in Reno/Sparks this year have been under $600,000, with 44.3% of sales occurring below $300,000, and 474% of sales between $300,000 and $600,000. Only 5.9% of sales this year have been between $600,000 and $900,000. The remaining sales, or just 2.4% of all sales, were over $900,000.

The supply-demand equation continues to drive home prices up in the most affordable price ranges. However, the pace of price increases often depends on a specific neighborhood or area of town. Whether you are considering a move to downsize, move up, or even a move across town, now is a great time for us to meet and discuss your options. Please reach out if you have questions or would like to talk about what is happening in our real estate market.

Christy Klingler. Realtor

DOW_21477

Call. Text. 775.750.5492

Email: cklingler@dicksonrealty.com

Web: https://renosparksinfo.com  &

http://christy.klingler.dicksonrealty.com