While on the surface, activity appeared relatively stable in August, a closer look revealed that year-to-date through August 31st, gross sales volume declined 15% to $895 million (402 closed single family sales) versus $1.06 billion (425 transactions) during the same period in 2015. A deeper dive into the data shows the under $3 million market was the sweet spot with the best absorption rates.
There has been a rather significant slowdown in unit sales (↓20%) in the over $3 million segment with 88 trades in 2016 versus 110 in 2015. Not surprising, absorption rates in the $3-5 million market are now running close to 20 months of inventory, while the $5-10 million segment has a 46+ month supply. With 43 new single family home listings coming to market since September 1st, buyers should have a nice pick this fall and spring, particularly at the upper end of the market; for sellers, pricing will be critical.