BIG CHANGES! Granville, Hilliard, Upper Arlington, and other school districts shift to buyer markets
Luxury houses continue to languish on the market. Houses near the median are still moving, but with mortgage rates elevated, more expensive houses are taking longer to sell. This explains some of the buyer markets that have popped up this month. Months of supply increased slightly from 1.14 months to 1.42 months, maintaining Central Ohio's real estate market in favor of sellers. The median list price rose from $319,000 in 2023 to $347,000 in 2024. The median sales price increased from $265,000 in January 2023 to $289,000 in January 2024. Median days on the market went up by two days, from 15 days in 2023 to 17 days in 2024. Active listings rose by 7.7%, with the most significant inventory increase in houses priced at over $500,000, up by 33% year-over-year. This shift is leading some areas to become buyer's markets, especially for homes priced above $500,000, as buyers are avoiding expensive homes due to interest rates surpassing 7%. Conversely, other price ranges, like $250,000-$300,000, also experienced an increase in active listings. The rise in listings in this category may be due to an influx of flipped homes entering the market at the beginning of the year.
Download the latest market status report here
In assessing the current market status, our focus lies on the absorption rate, also known as months of supply. This key metric is derived by dividing the available inventory by the number of closed sales for a given month.
Market Categorization:
Strong Sellers Market: An absorption rate below two indicates a strong seller’s market.
Sellers Market: Having 2 to 4 months of supply falls under a seller’s market category.
Balanced Market: Falling within the 4 to 5 months of supply range signifies a balanced market.
Buyers Market: A market with 5 to 7 months of supply is classified as a buyers market.
Strong Buyers Market: The scenario where there are 7 months or more of supply represents a strong buyers market.
Segmentation for Analysis: To provide a comprehensive market status report, the absorption rate breakdown is conducted based on price categories and school districts. This approach allows for a detailed understanding of the dynamics within different segments of the real estate market in our area.
By regularly monitoring and dissecting the absorption rates across various segments, we are equipped to offer informed insights and guidance to both buyers and sellers navigating the ever-evolving real estate landscape. Regardless of the chart results it is important to consult with a realtor and do your own research when buying or selling real estate. Markets move fast and it's important to check the latest inventory figures and comparable sales.
