Steve’s Stats for May 2010
Posted on April 30, 2010 by JA/LEX Real Estate in UncategorizedShippensburg Real Estate Market Monthly Stats for May 1st, 2010
Brought to you by: JALEX Real Estate Services
JALEX Real Estate Services is raising the bar for Shippensburg, Pa real estate sales and service. JALEX Real Estate Services offers you a monthly Shippensburg area real estate market conditions report based on data taken from our local real estate multiple listing service. We will use the Shippensburg area absorption rate in this report to identify the type of market conditions which exist currently in the Shippensburg, Pa area. The absorption Rate is defined as a number that shows the rate at which the inventory of homes for sale are being sold. A declining figure indicates people the inventory is decreasing as more homes are being sold than are coming onto the market. A rising absorption rate implies that there are more homes coming onto the market than there are buyers willing to buy at the market prices. The absorption rate lets you know how well the market is absorbing the current inventory of listings. The ultimate question the absorption rate answers is, “Is the current inventory level shrinking or growing?”
Number of active Shippensburg real estate listings in the Shippensburg school district as of May 1, 2010 = 216
Number of Shippensburg homes sold since January 30, 2010 (3 month period) = 49
Absorbtion rate = Number of homes sold / Period (3 months) = 16.33
Month’s supply of homes = Number of active listings (173) / Absorption rate (12.67) = 13.22
Six month’s supply is considered a balanced market. Numbers over 6 equal a “buyer’s market”. Numbers below six generally indicate a “seller’s market”.
Using these calculations you can focus on absorption in a particular neighborhood or price range as well. Showing clients the Absorption level can give them the information they need to price their homes for sale in the Shippensburg area real estate market. As with any commodity, price in real estate is mostly a matter of supply and demand.
For more information please feel free to contact our office to speak with a Shippensburg area real estate professional at JALEX Real Estate Services.
