This sales report offers some slight surprises. Prices for closings in April are down, down further than at anytime I have been posting these reports and down further than at any time since I've been keeping this sort of data (2004).
Unit sales were better in April this year than in the previous two years, but not by all that much (only a few units). But lower prices will likely continue to bring new buyers back to the market and the best part of the selling season is now underway.
So take a look at the data you take a lookers... after the disclaimer of course...
Disclaimer... all data compiled for this report comes from the WARDEX Data Exchange and does not include any sales activity from outside that resource. All research is done only on single family homes and there is no inclusion of modular homes, commercial properties, or vacant land. The geographical area researched includes; all areas within the boundaries of the city of Kingman, north Kingman, the Hualapai Mountain area, and the Valle Vista subdivisions. Click here to see maps of the included area's.
Listings and sales in units chart:
April proved to be a slow month compared to March. I thought that we'd see more closings in April based on the numbers of units under contract from the listings reports over the last two months. I still think that the number of closings will increase this year as compared to last year (and even the year before) when all is said and done for 2009. But like I tell the nice folks that ask about the current market... at least the market for sales is better than terrible.
Average listings and sales averages chart:
Keep in mind that the blue line and accompanying dollar amounts articulate the data for the average price of a new listing hitting the market for that month. The red line and dollar amounts are for the average price of a housing unit that closed in that month. To me, the continued gap between the average data dollar amounts tells me that wanna be sellers (for the most part) aren't either getting the data or believing the data. Sellers are still responding too slowly to the market.
2006 through 2009 unit sales chart:
Last month I was able to say that sales in units were up 63% from the previous year... this month though... sales were up 7%. But you know what?? I'll take it. Up is better than down. And even if you look at last months unit sales figure as being somewhat disappointing, the pace that is being set so far this year is clearly better than the previous two years.
2006 through 2009 average price chart:
The average dollar amount shown for April is the lowest average dollar amount reported since I've been tracking this sort of data (2004). So welcome to 2003, again.
Sales price average is down 45% from the previous year and down 16% from the previous month.
2006 through 2009 median price chart:
The median price figure for April is also the lowest figure ever reported based on my collected data going back to 2004. There were two months in '04 that reported median prices in the five figure range but both were higher than April of 2009.
The price range of all sales in April 2009 was from $18,000 - $270,000
Average SFR statistics:
Data tables for all sales tracked in April 2009
| Item | Apr. '09 |
|---|---|
| Average Price per Unit Sold | $106,303 |
| Median Price per Unit Sold | $95,000 |
| Average Price per Square Foot | $72 |
| Item | Apr. '09 |
|---|---|
| Ave Living Space per Square Foot | 1,467 |
| Bedrooms | 3 |
| Bathrooms | 1.95 |
| Garage | 1.7 |
| Year Built | 1992 |
| Item | Apr. '09 |
|---|---|
| Days on Market to Contract | 97 |
| Days on Market to Close | 136 |
| Price Reductions on Market | $15,763 |
| Negotiated Price Concessions | $4,822 |
| Total Price Concessions | $20,585 |
| Total Percent Conceded | 16.22% |
Bonus Charts:
Just rapid and very noticeable changes over the last year.
Just a quick comment on this chart. It almost appears that a trend is forming. The red part of the bar indicated the amount of dollars conceded during negotiations between a buyer and a seller. It seems that this figure is getting a bit tighter. Still, it is the blue part of the bar that remains somewhat consistent. That figure represents the price reductions sellers have made during the time since it first was placed on the market to induce a buyer to make an offer. That part of the bar might indicate a matter of a few weeks or even over a years worth of time gone by until it was priced close enough to true market value to attract a buyer. Or in other words, wasted time.
Foreclosure Impact:
Again, basically 60% of the sales in April were on foreclosed bank owned property.
Traditional Seller vs. Bank Owned sales comparison for April 2009
| Item | Traditional Seller | Bank Owned |
|---|---|---|
| Total Units Sold in Month | 23 | 33 |
| Average Price per Unit Sold | $121,198 | $95,921 |
| Median Price per Unit Sold | $121,500 | $92,250 |
| Average Price per Square Foot | $86 | $64 |
| Item | Traditional Seller | Bank Owned |
|---|---|---|
| Ave Living Space per Square Foot | 1,413 | 1,504 |
| Bedrooms | 2.9 | 3.06 |
| Bathrooms | 1.9 | 1.94 |
| Garage | 1.7 | 1.7 |
| Year Built | 1993 | 1991 |
| Item | Traditional Seller | Bank Owned |
|---|---|---|
| Days on Market to Contract | 102 | 94 |
| Days on Market to Close | 141 | 132 |
| Price Reductions on Market | $16,606 | $15,177 |
| Negotiated Price Concessions | $4,000 | $5,393 |
| Total Price Concessions | $20,606 | $20,570 |
| Total Percent Conceded | 14.5% | 17.7% |
Wrap Up:
I've said it before about how bad foreclosures are for neighborhoods and the community. It is clear from the data that the negative impacts of the foreclosures are mostly being felt by existing property owners. Any property owner that knows of a friend, family member, and/or neighbor facing financial distress that includes status of property should be talking those distressed folks into contacting someone that might be able to help the situation. Someone like an attorney, a professional negotiator, and/or maybe even a Realtor.
The situation is what it is... there is no getting around it... unless folks decide to do something about it. I talk to people all the time that want to simply stay in their homes and I suggest they contact their lender to see if they can work out a loan modification to hopefully get the costs down to somewhere affordable. Others aren't as lucky and will ultimately face losing their property to the bank, but those folks should consider a short sale. Again, folks facing distress can attempt to make arrangements with their lender to do just that. It isn't easy and it certainly is not what I would consider fun.
If distressed property owners don't want to go it alone with that sort of solution, there are other alternatives that include hiring a representative to help. Yes, that would probably mean a cost out of pocket up front. But if there is someone that can help a distressed property owner from facing foreclosure or bankruptcy, and even perhaps keep themselves in the home they love at an affordable cost, it seems to me that it would be worth it.
Look at all the charts again. Please decide to do something about it.
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