The West Hartford real estate market performed well through the first two months of the year. The number of closed sales totaled 90, which was about 9% more than 2016’s total through February. It was strongest start to the year since 2007, which also had 90 deals in the first two months.
The Transactions by Price chart shows that over the past 12 months most of the increase in sales activity was between $200,000 and $499,999. These homes represent the core housing stock in town, and they drove median prices up about 3% in 2016.
You’ll notice that there was about a 17% decline in the number sales that closed in the $100,000s. The decline reflects a strengthening price environment at the low end of the market. Homes that in previous years were selling below $200,000 are now worth more, and many are selling in the next highest price band.
The Active Listings chart shows how many options buyers have in each of the price bands. However, the more interesting information is the ratio of the available listings to the number of sales over the past 12 months.
Consider the 44 active listings shown for the $200,000s, which is the highest count of all the price bands. Because that price band is so active, with 265 sales over the past 12 months, that only represents enough available listings for 2 months of sales. We refer to that price band as having 2 months of inventory. The $200,000s, and all the other price bands below $500,000, are markets that favor sellers. Properties that are in good shape, and that are marketed well, have an opportunity to generate considerable interest.
Inventory levels increase as the price point increases, but that doesn’t mean sellers are out of luck. West Hartford homes that are priced appropriately tend to sell. That’s one of the nice things about the town’s real estate market.
Although we like to let the data inform our opinions about the market, we also pay close attention to the day-to-day in town. We’re seeing bidding wars on nicer properties on a regular basis. The market is currently limited by the relatively few homes available in the lower and middle price points. We are expecting a strong spring real estate market in West Hartford.
Amy & Kyle Bergquist are residential real estate agents based in West Hartford Center. Reach out to us at any time for a free consultation – we would love to help you buy or sell a home!