The Reno Rodeo is in full swing this week!
Reno/Sparks Homes and Real Estate Market Report, your guide to buying or selling a home!
May 2012, is the first month in 72 months that we have seen a significant increase in year-over-year median sales price. The four month upward trend in median sales prices coupled with the near record home sales is a positive sign that buyers and investors are taking advantage of affordable pricing and low interest rates. Equity homeowners who are considering selling, as well as homeowners who have a hardship and are considering a short sale, should be taking advantage of the current seller’s market we are experiencing with high demand and low inventory. We cannot predict how long this seller’s market will continue.
Reno/Sparks Median Home Sales Price
- May 2012 median home price was up 8.2% to $165,000 from $152,500 in April 2012 and up 10% from May 2011.
- Median price is defined as the mid-point, where, for the time period identified, the price for one-half of the sales are higher and one-half are lower.
Reno/Sparks Homes Sold
- May ended the month with 508 sold transactions, down 3% from the prior month.
- Sales are down less than 1% from the same period last year.
Reno/Sparks Average Days on Market
- The average days on market are 144 days, one day less than the prior month, and up 7.6% from May 2011.
Reno/Sparks New Listings
- 601 new listings were taken in May compared to 591 in April, a 1.7% increase, a 24.5% decrease from May 2011.
- Properties listed at under $250,000 made up the 69% of new listings enteing the market during the month of May.
- 44% of new May listings were distressed; Short Sales 35% (208); REO 10% (59); No special conditions 54% (326) and Other less than 1% (8).
- In price ranges under $200,000, 35% of the listings are identified as distressed listings.
Reno/Sparks Current Months Supply of Inventory (Unsold Inventory Divided by Sales per Month)
- As of May 31, there was 4.6 months of unsold inventory based on the May sales rate.
Homes and Absorption by Price
- Properties in the price range between $300,000-$500,000 price range are in a balanced market.
- Properties under $300,000 have less than 5 month’s supply of inventory and would be considred seller’s market properties.
- Properties over the $500,000 price range have in excess of 10.3 month’s supply of inventory.
- 79% of the total sales for the month of May were in the under $250,000 price range.
Homes and Absorption by Area
- Suburban Southwest had the highest level of active inventory with 104 Active listings.
- The North Valleys, Northwest, Spanish Springs and Sparks show the highest level in activity in pending sales for the month.
- The North Valleys, Northwest, Spanish Springs and Sparks show the highest volume of closed sales for the month.
- Metro Southwest, Old Southeast, Suburban Southwest, Washoe Valley and West Suburban are what is defined as a balanced market.
- Virginia City Highlands is in what is defined as a buyer’s market with more than 7 month’s supply of inventory. The balance of the ares is considered a seller’s market with less than five month’s supply of inventory.
Conclusion
- May 2012, is the first month in the last 72 months that the median sales price was up significantly year-over-year. Median price is up 10% over May 2011. Median price has been trending up for the past four consecutive months and is up 8% over April 2012.
- Active home inventory is down 31% from a year ago. For the third consecutive month, the Reno market has remained a seller’s market. We believe this trend will continue, as banks continue to adjust to state legislation and the National lMortgage Settlement.
To read the RSAR Market Report May 2012 with graphs, charts and five year history.
To read April 2012 report and previous months and years.
Report courtesy of Reno/Sparks Association of REALTORS® wsith date from NNRMLS.
