What’s Up?!? (Pun intended…) Here’s the new NWA market stats!
 
As you would expect with shaking off the winter-lull, most metrics are up from last month….for 2 of the 3 metrics that are lower, that’s actually a good thing.
 
While the total volume of sales (both by count and dollars) is still down versus a year ago, the 35%+ increase in both categories over last month is a positive sign. Similarly, the fact that final sales prices are still very close to the original list price and the number of expired listings went down are both indicators that sellers are still finding buyers. It’s also good news for sellers to see months of inventory drop from January to February (7 MOI in Jan).
 
The 41% and 24% increase in median days to sell over last year and last month, respectively, could make you nervous, but 61 days to sell is still historically low. Compare this to the same time frame in 2019….the NWA market was considered “hot” (before we could fathom the red-hot COVID-driven market demand), and the median days to sell in was 88 days. Or in 2015 when the market was “good” and considered a seller’s market, the median days to sell was 123 days. More than double last month!
 
For another month, residential sale prices are trending marginally higher (median sale price and average $/SQFT both increased). While continuing higher, the rate of increase of those metrics is getting smaller. That matters! Historically, the median sales price had never exceeded $200K in NWA until April of 2019, (a threshold it has never been below since). Yet in less than 3 year, by March of 2022, we surpassed the $300K mark; also a number we have not gone back below since. While everyone loves their home’s value appreciating, the drastically inflating prices outpacing income growth is shrinking the affordability in NWA.
 
Generally speaking, the February statistics are down from a year ago but an improvement over last month. March/April/May normally see a gradual uptick in market activity. How the numbers play out during the Spring will likely be telling of any serious market shifts.
 
If you’re are curious about other statistics, ask away. Always love an excuse to dig into the numbers!