Area Real Estate News & Market Trends

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

July 5, 2024

June 2024 Market Updates - Northwest Arkansas

📣 NEW RECORD for NWA!! 📣


June’s residential total sales dollars of $489M is the highest single-month total in NWA history!! This was $27M more than last month’s sales, and $9M more than the previous record month (June 2023).

As we hit the official halfway mark on 2024, the increase activity seen through the spring months has started to slow. Active Listings dropped by 200+, or a 5.3% drop, after 5 consecutive months of increases. Similarly, New Listings had a 16.1% reduction from May; just shy of 250 fewer active listings than last month. Still, the fact that there was no change in Months of Inventory for the 4th month in a row, indicates the changes in seller-activity is being fairly well matched with changes in buyer-activity.

Home prices seem to remain stable. The median sale price for a home in NWA went down $6K, while the average price per square foot increased marginally by 1.8%. Speaking of consistency, the median days to sell, while up 5 from last month, is right in the middle of our average for the last 12 months; where we have hovered around 63 days on market.

One final point… To truly appreciate and emphasize how much the NWA residential market has changed (grown) in just the last decade, and even more so in just the last 5 years, here are a few more statistics:

➡️ In the last 10 years, NWA has gone from double-digit-million-dollar sales months…(February of 2014 was the last at $82M), to multi-hundred-million-dollar sales months.
➡️ NWA had it’s first $300M+ month in history in May 2019 ($314M); just 5 years ago.
➡️ The first $400M+ residential sales month was June of 2021 ($439M); only 3 years ago.
➡️ The month of June has set a new record high in total sale each of the last 4 years ($439M in 2021, $470M in 2022, $479M in 2023, and $489M in 2024). At that rate, there’s a fair chance NWA sees its first $500M+ month in June of next year. Anyone want to make a wager on it?? 😅

June 4, 2024

May 2024 Market Updates - Northwest Arkansas

**May Market Statistics for NWA**

By all indications, the market is still doing well. Months of inventory (MOI), the ratio of original list price to sale price, and average sales price per square foot all saw very little or no change. A sign of a steady market. The number of new and active listing increased slightly from last month showing more sellers are entering the market, but MOI remaining the same shows buyers are keeping pace with new activity on the market.

Total sales, both by dollars and by count, were down slightly from last year, but up from last month. The discrepancy between 1-month change percent increases between dollar volume and number closed is telling of the increase in final sales prices compared to the prior month. Speaking of....

Median sale price has hovered around $335K for much of the last 10 months, so to see the almost $30K jump from last month was surprising. In fact, $367,500 is the HIGHEST single-month median sales price in NWA history. This may be the peaks for median sales price of 2024, because each year the peak typically occurs in May or June (7 of last 10 years; the COVID years of 2020 and 2021 were the anomaly when the prices just kept rising all year long).

Over the last 10 years, the median sales price has increase over $200K ($154K in 2014 to $267K in 2024). Or another was to interpret it, at that rate of change for each additional year, the median sales price has increased $22K. If that trend continues, 5 years from now the median sales price would be another $100K higher ($469K) and in just 7 years, the median sales price would be over a half million!! This is one time we hope the trend slows to keep NWA still an affordable place to live.

That sums up the interested updates to the NWA residential market. If you have real estate market questions, reach out anytime!

May 4, 2024

April 2024 Market Updates - Northwest Arkansas

⭐️ NWA Market Statistic for April 2024 ⭐️

April was a solid month for residential real estate sales in NWA, but surprisingly there’s not a whole lot to say about it.

Every metric was up or had no change from March except median days on market which saw an 8-day decrease (a good thing).

April was the first month in 2024 to cross the $400M mark in total sales dollars; almost $50M more than last month. This jump was from the almost 100 additional closed transaction in April vs March.

The fact that median sale price, average price per square foot, and ratio of sale price to original list price all saw less then a 1% change from last month shows values are steady.

For the 2nd month in a row, months of inventory (MOI) held steady at 4...a sign sellers are still in control of the market.

Those are the key takeaways from the April statistics. May tends to be one of the best months for sellers, so I anticipate even better numbers next month.

April 4, 2024

March 2024 Market Updates - Northwest Arkansas

 

Another month in the books, and another month NWA does well.

Median sales price for March was $335,000. Noting 5 of the last 9 months all had median sales prices of $335K is a reassuring sign of prices stabilizing in NWA. Although in terms of price per square foot, there was just shy of a 13% jump. We’ve held right around $212/SQFT for the last 3 months, so seeing this $10/SQFT increase is a little surprising. It’s worth pointing out, the March number of $222/SQFT for residential properties is the highest average price per square foot EVER in NWA!! In fact, in the last decade, we have seen a 139% increase in price per square foot ($93/SQFT in March 2014)!

Signs there is still strong activity in the NWA market, median days to sell went down 15 days from last month! Meaning, listings sold faster in March than February. Months of Inventory (MOI) was back down to 4 (same as March 2023). Several new listings it the market in March (both 12-month and 1-month were up double digits), and active listings reached 4,000+ for the first time in almost 4 years (June 2020). However, given MOI continues to remain low, indicates buyers are keeping pace with listings (actually increasing their buying pace since February).

Turning to a metric that better reflects if the buyer or seller has more leverage, the ratio of sale price to original list price is back to 100%. (2 months earlier than last year when we got back to 100% from May to October of 2023). Showing sellers are not making major adjustments from list price in order to find a buyer.

Overall market statistics were also positive. There were 200 more sales in March than February translating to the $60M more in sales dollars. Total sales (both by count and by dollars) were very similar numbers to a year ago, but saw 20+% increases from last month.

That covers the important points of the residential sales market in NWA for the month of March. In general, NWA has still not seen a shift in the market. We will continue to stay optimistic, but always vigilant. Reach out if you have any questions that real estate in NWA!
March 4, 2024

February 2024 Market Updates - Northwest Arkansas

 

NWA Market statistics for February are in!

Overall national trends have seen slowing housing markets (less sales, longer days on market, and significantly fewer new loan applications). Anecdotally, based on the number of price changes and activity levels on listings (showings, agent inquiries, offer submissions, etc.) we saw during February, we would have expected to see more signs of the market slowing. However, we can’t say the numbers reflect that (at least not yet).

The months of inventory went down from 6 to 5 months in February, and the ratio of sales price to original list price is still in the very high 90’s. Both of which indicate buyers are out there and are still offering very close to the list price (i.e. sellers are not making large concessions to find a buyer). Consistent marginal increases in median sales price and price per square foot is reassuring. Along similar lines, total sales, both by dollars and by count, was up more than 20% from last month.

Interestingly, expired listings dropped significantly (only 2 for every 3 in Jan), which you would expect to be increasing if the market was turning to more of a buyer’s market. New listings jumped 18.6% from last month; which could seem worrisome if months of inventory was increasing. However, with the opposite true, it is a sign new buyers entering the market have been outpacing new sellers entering the market. Something worth continuing to monitor.

The one metric here that could indicate a slowing is the median days to sell, which increased by 9 days to 83 days to sell. This was the first time in five years (March 2019) that the median days to sell was 80 days or above. We would be incline to interpret this as a less cut-throat market for buyers. That is, there are fewer competing offers on a single listing, and less of a need for offers with very competitive terms (like cash offers that waive inspections which typically yield much faster closings).

Truthfully, we had expected to see a more prominent slowdown in February from January, but we can’t speak to that just yet looking at the updated performance indicators. Although we will acknowledge it does have an inherent flaw, as this data is always rear-looking (historical data vs. projection models). Still, knowing the real numbers for this market allows us to provide clients with the best information; which is far more important than “my gut says” advise. Reach out if you have any questions or any real estate need!

Feb. 5, 2024

January 2024 Market Updates - Northwest Arkansas

 

Let’s talk numbers! Here's the latest stats for NWA residential real estate market:

 

For the 5th straight month, median sale price has held steady or decreased slightly; meaning property values are stabilizing; however, Jan 2024 median sale price was still $9,000 more than January of last year. There were also very marginal changes in the ratio of original list price to sale price. Interestingly enough, we have remained above 98% of original list price to sale price for 59 consecutive months (Feb 2019).

 

The months of inventory (MOI) went up by 1 month, but this was not unexpected as many of the expired listings in December are renewed in January leading to a disproportionate increase in supply (vs. demand) relative to the other months of the year. In fact, the single month change is less than expected given NWA had 7 MOI in Jan 2023.

 

The median days to sell saw a fairly sizable increase. 74 days reflects a 9-day rise from Dec to Jan, and a 51% increase in the number of days as compare to 49 days in Jan 2023 (although Jan 2023 was the lowest for the entirety of 2023). For additional context, 74 days to sell is the highest since Jan 2020; just before the start of the unprecedented pandemic changes to the housing market. However, 74 days is right at the average for median days to sell for the 5 years preceding the pandemic (which was still a very solid market).

 

Looking a listing metrics, NWA had a 32.6 % increase in new listing in Jan from Dec (240 more). Active listings stayed in a reasonable single-digit increase, both in 12-month and 1-month changes. The more interesting of the listing statistics is the expired listings that was up 20% from Jan of last year but down 30.6% from last month. In perspective, the 30.6% drop is the smallest decrease from any consecutive Dec/Jan in the last 10+ years. Meaning this was one of the least drastic changes in expired listings than we have historically seen when the new year rolls over.

 

While $255M in total sales volume being down 27% from last month feel painful, this was the smallest drop for the same time frame of the last 3 years prior. But this number still represents over $20M more dollars in sales than Jan 2023. No surprise this strongly correlates to the number of total closed sales, which also saw the smallest drop in the last 3 years prior but still out preformed Jan 2023 by almost 50 more closed transactions.

 

All in all, Jan of 2024 out preformed Jan of 2023 in most metrics (evident in the statistics in yellow being up). The only two decreases in statistics were new listing with only 10 fewer new listings, and a lower MOI which is theoretically saying sellers “gained” leverage in the current market over last January.

 

Interesting start to 2024 to say the least. Let us know if you have any questions about the numbers or the real estate market in general.

Jan. 8, 2024

December 2023 Market Updates - Northwest Arkansas

 

**NWA Market Statistics for December 2023**

 

With 2023 wrapped up, the escalation in property values seem to have stabilized. The average $/SQFT increased less than 1% from last month. Median sale price was also the same as last month and only 3.1% higher than a year ago; which is a much more realistic and reasonable rate of annual increase in property values than the double-digit increases we were seeing the past couple years.

 

A few indicators no significant market shifts have occurred yet: sale price to original list price is still in the very high 90’s, months of inventory held at 5 for the third month in a row, and median days to sell actually went down by 2 days.

 

The two large percentage changes from last month (new & expired listings) would look ominous out of context, but in perspective aren’t particularly unusual. 1) New Listings typically has a significant drop from November to December. This time there was a 26% decrease; however, compare that to the same time last year, it’s only 8 fewer new listings in Dec 2023 compared to Dec 2022. Showing the activity level is similar to years prior. 2) Expired Listings was up 72.7% from last month, but that is significantly skewed by how listing agreements are frequently written. As a natural end-date, many agents create listings with expirations set for the last day of the year; causing a large jump in this metric in December.  Many of these expired listings are renewed in January, which is why we tend to see a jump in months of inventory in January before things settle down again. The 72.7% increase from November is actually significantly less than the Nov/Dec change of last year when expired listings saw a 107% increase (or almost 300 more expired listings Nov/Dec 2022 vs Nov/Dec 2023).

 

2023 Round Up: a couple annual totals now that we have closed the books on 2023. NWA saw 10,879 closed residential transactions in 2023; just over 1,100 less than the total number closed in 2022. Those 10K+ sales translated to $4.3 Billion in total sales volume; down just 5.1% from last year’s $4.5B in total closed dollars. Overall, the real estate market in 2023 was not quite as robust as 2022, but for all of the initial speculated down turn, 2023 did a good job holding its own.

 

With housing supply still short of needed demand, and with interest rate increases expected to pause or even reverse, there is a good chance 2024 will be another solid year. Reach out if you have any questions about real estate in NWA!

 

Jan. 6, 2024

Client Breakdown: New Construction & "Upgraders"





🛠🪚 New Construction Clients & "Upgraders" 🏡 🏠

New Construction is booming in NWA! It's always rewarding to help clients through the process of building a dream home. Just about 1 out of every 4 clients (as well as, closed-dollars) at Acquire Realty has been on new construction properties.

Another very fulfilling job of an agent is helping clients "upgrade". That is, helping them sell their current house and buy a new (often bigger) home. Historically making up just about 25% of our transactions, these clients almost doubled in 2023. It's an honor to be apart of these milestones in our clients lives.

If you need professional real estate advice in Arkansas or Missouri, we are here to help! Reach out on social media, by email at info@AcquireRealtyAR.com, or call/text an Acquire Realty agent directly:

Kirby Fletcher, Executive Broker - 479-544-1597
Sean Fletcher - 479-502-1230
Kathryn Healy - 479-409-4760
Deb Tice - 479-936-0874
Tracey House, Principal Broker - 479-650-1163
Posted in Clients
Jan. 5, 2024

Client Breakdown: Out-of-State Buyers vs. In-State Buyers





✈️📍 Out-of-State Buyers vs. In-State Buyers 📍🚙

Acquire Realty has been privileged to work almost 50/50 with out-of-state and in-state buyers each year. To date, Acquire Realty agents have been able to help clients from all over the US. Quite literally coast-to-coast...from Washington state to Florida. Be it relocations or remote investment properties, we make it as easy as possible on out-of-state clients. Although, as Arkansas residents ourselves, we always love helping a "local".

If you need professional real estate advice in Arkansas or Missouri, we are here to help! Reach out on social media, by email at info@AcquireRealtyAR.com, or call/text an Acquire Realty agent directly:

Kirby Fletcher, Executive Broker - 479-544-1597
Sean Fletcher - 479-502-1230
Kathryn Healy - 479-409-4760
Deb Tice - 479-936-0874
Tracey House, Principal Broker - 479-650-1163
Posted in Clients
Jan. 5, 2024

Client Breakdown: Cash Buyers vs. Financed Buyers





💲
💲 Cash Buyers vs. Financed Buyers 💲💲

Consistently, each year about 3 out of every 5 buyer-clients at Acquire Realty has been a financed buyer. Although interestingly enough, almost half of the closed-dollars for buyers in 2023 were cash purchases. Acquire Realty agents talk with buyers about the pros and cons of each funding type; as well as different loan options. Regardless of how a person funds a purchase, they should feel extreme pride in being a home owner!

If you need professional real estate advice in Arkansas or Missouri, we are here to help! Reach out on social media, by email at info@AcquireRealtyAR.com, or call/text an Acquire Realty agent directly:

Kirby Fletcher, Executive Broker - 479-544-1597
Sean Fletcher - 479-502-1230
Kathryn Healy - 479-409-4760
Deb Tice - 479-936-0874
Tracey House, Principal Broker - 479-650-1163
Posted in Clients