RSAR Monthly Market reports – October 2010

The Reno/Sparks Association of REALTORS® Monthly Market reports for October have been released.

From the Reno Market Report…

  • Summary: “As colder weather months are upon us, we expect to see a slight seasonal downturn in the number of home sales,” said Ken Amundson, 2010 president of Reno/Sparks Association of REALTORS and managing broker for First Choice Realty 500.  However, we are continuing to see only small decreases in median sales prices from a month-over-month and year-over-year perspective. As we had anticipated, these numbers again indicate that we are experiencing a leveling of the market.”
  • Median Sales Price
    • October 2010 median price was up 2.2% to $172,775 compared to $169,000 in September 2010.
    • The median sales price has remained relatively stable for the past seventeen months.
    • Median price is defined as the mid-point, half of the sales for the time frame are below and half are above.
  • Number of Units Sold
    • October ended the month with 410 sold transactions, down 11.4% from the prior month.
    • Sales were down 27% over the same period last year.
  • Average Days on Market
    • The average days on market are 134 days, up slightly from September 2010.
  • Sold-to-asking-price Ratio
    • September reported sales received an average of 97.3% of the seller’s final asking price.
  • Conclusion
    • This could be described as a normal market as we adjust to a non-incentivized homebuying world with some softening in the closed sales.
    • With inventory levels at eight months, we have moved to a buyer’s market.
    • For the Reno market absorption numbers to get back to the stable 5 – 7 months of inventory, homes available for sale numbers have to decline if the closed sales volume doesn’t keep up.
    • Results of upcoming elections could have an affect the housing market.

Reprinted with permission by the Reno/Sparks Association of REALTORS®.

11 comments

  1. E.Edward

    Well alrighty then …….. Go ahead and jump those rates right back up to the norms,
    and just watch how quick those prices level off ?

  2. MikeZ

    This could be described as a normal market as we adjust to a non-incentivized homebuying world with some softening in the closed sales.

    I don’t think that any market with 60% distressed sales could be described as normal.

    With inventory levels at eight months, we have moved to a buyer’s market.

    We have moved to a buyer’s market? We’ve been in a buyer’s market for about a year now.

  3. MikeZ

    October 2010 median price was up 2.2% to $172,775

    Readers predictions for December 2010’s median
    smarten $172,000

    Still two months to go, but I am impressed.

  4. MVC/RRBVIP

    One thing that (I hope) differentiates me from Mr. Vanishing Equity is that I am not so blinded by past disagreements that I cannot agree with someone when he/she is right. So, I would like to say (or write, as it were) that I agree completely with your above comments, MikeZ!

  5. smarten

    The fat lady hasn’t sung yet MikeZ, so please don’t get ahead of yourself. But your post caused me to go back and see what some other posters predicted [ https://renorealtyblog.wpengine.com/2010/01/readers-predictions-for-december-2010%e2%80%99s-median.html ]. Do you remember what our good friend Mr. BB’s prediction was [even though he told us that he doesn’t make predictions]? $135K! I hope this prediction puts to bed the [self-] chosen one’s clairvoyance once and for all.

  6. Smarten's Vanishing Equity

    Smarten’s really got a thing for BanteringBear, huh? The guy hasn’t posted forever, yet Smarten cannot stop talking about him. Seems like MikeZ isn’t the only obsessed one around here.

  7. Smarten's Vanishing Equity

    “Readers predictions for December 2010’s median
    smarten $172,000

    Isn’t it interesting to note that this particular poster, Mr. Smarten, had already gone on the record to say that the median in Reno/Sparks would never drop below $200k? At least BanteringBear was calling for a sub $200k median several years ago, amidst a sea of naysayers, not changing his forecast with the weather conditions. What credibility does Smarten have?

  8. MikeZ

    But your post caused me to go back and see what some other posters predicted

    I like to revisit that thread when the monthly medians are published here. A year ago, median was $185K when we all put our estimates in the hat, having fallen from $210K (?) the prior year. It’s definitely not over, but right now, almost a year later, your accuracy is uncanny.

  9. Sully

    Just one point about the current median at 172,775. If you go back to Oct/98 when the median was 142,825 and adjust for inflation to present, the median should be 191,640 or roughly 10 percent higher than it is now – just to break even.

    I’m not sure this is something to celebrate. 🙂

  10. Carney

    Excellent point Sully. Everybody always talks in nominal dollars. If we adjust for inflation, we need to add 10% to the median, just
    to get back to 1998 values.
    Much like the Dow. The Dow 11,000 today, which many seem to “celebrate” as evidence of something or other, is substantially below the Dow 11,000 of 2000 when adjusted for inflation.
    Oh, I know, I know. Real estate always goes up in the long run. Just like stocks. Problem is that the proverbial “long run” in which these things always go up, keeps getting longer and longer.

  11. Norton

    According to the Case-Shiller Index, which even the cheerleaders acknowledge is valid and reliable, the value of houses in America has essentially paced the rate of inflation over the past 80 years. In most of America, that continues to be true. In places where there was a massive bubble, and Reno had a massive bubble, this traditional measure has been disrupted and it will take many more years for equilibrium to be restored.

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