So this time my broker passed out a map of Reno-Sparks. She had neatly split our fair metro into four quadrants showing market activity for the last seven days. Behold:
In the Sparks-Spanish Springs corner, we had 124 new listings, 128 price changes (mostly reductions, I’m sure), 26 actual sales and 44 expireds. Total existing active inventory? 1275. That puts absorption at about 2% for a one week period, which may multiply out to 9% for the month if sales remain consistent. These sellers have a roughly 1 in 10 chance of selling their home.
In the North Valleys corner, we have 79 new listings, 93 price changes, 15 solds and 19 expireds. Total active inventory? 977, putting absorption at almost 10% for the week. If this volume continued, absorption for the month might be 45%, a much healthier number. The North Valleys generally are the most affordable, so this is where the action appears to be. (Note to area homeowners: you may be able to trade up to other areas of Reno if you buy aggressively since you can actually sell your house!)
In the Verdi-Somersett-Northwest corner, we have 52 new listings, 65 price changes, 13 solds and 11 expireds. With total active inventory at 682, absorption is at 2% for the week and 9% for the month if this level continues.
And in the Reno-South Reno corner, we have 160 new listings, 162 price changes, 30 solds and 44 expireds. Total inventory? 1841. That puts absorption for the week at 1.6%, which would be roughly 7.2% for the month if this rate of sale continued.
Realistically, rates of sale will vary from week to week, so the final monthly numbers will probably be different. But it truly is an interesting snapshot of today’s market.
Sparks-Spanish Springs data included Areas 180, 181, 182, 183, 184, 185 and 188. North Valleys included Areas 119, 130, 131, 132, 133, 134, 135, 136 and 137. Verdi-Somersett-Northwest included Areas 120, 121, 122, 123 and 124. Reno-South Reno included Areas 115, 140, 141, 142, 143, 160, 161, 163, 164, 165, 171, 173, 174, 175, 176 and 177. Active inventory did not include Active/Pending Loan, Active/Pending House or Active/Pending Call. All data courtesy of the Northern Nevada MLS as of 8/16/06.
gotlots
So let’s see. There have been 415 new listings and 118 expireds for a net increase of 297 listings in the LAST SEVEN DAYS??
There have been 448 price reductions (nobody believes that “price change” means increase)in the LAST SEVEN DAYS??
So inventory continues to rise, asking prices are dropping, and sales volume way down YoY.
Never been a better time to lock in declining value.