Recent single family home sales are as follows:
September, 2011 [through 9/22]-37
This type of slow down in sales is typical for the season. People like to get settled in before the start of the school year. Nevertheless, we are still averaging 1-2 home sales/day and will probably sell 50 by month’s end. The market is moving and that is good news.
Of the 37 homes that closed this month, sold prices ranged from $72,500 for a home in Heber City, to $4.3 million for a home in Bald Eagle at the top of Deer Valley® Resort. Here was the interesting news–only 8 of the 37 homes (21.6%) sold for more than $1,000,000 and 19 homes (51.3%) sold for under $500,000. Last month, we saw similar trends, as the average sale price was $660,727 but the median sale price was only $475,000. The bottom part of the market is much healthier than the top of the market.
Who is buying all of these homes?
-First time home buyers are still a strong segment of our market. Conventional financing is at record low interest rates and still easy to get for people who are employed.
2- Investors see an improved rental market and see that for the first time in years, a 20% down payment can actually produce a positive cash flow on a rental property.
3-Twenty-nine percent of all single homes solf in Park City this year were purchased with cash.
What do these statistics mean for buyers and sellers?
The middle of the real estate market ($500-$999k) is the most competitive. These buyers generally purchase their homes using financing and are strongly impacted by credit scores and interest rates. Nice, clean homes that are appealing to first time homebuyers or investors have the best chance of selling right now.
If you have been thinking about investing in a rental property, give me a call. I can show you several homes currently listed for sale that would make great rentals. Or check out www.buyparkcityproperties.com and search on your own.