October 7, 2010
I like to use year-to-date sales data as an indicator of where our local real estate market compares to previous year sales and, perhaps, as a hint to where the market may be headed.
As of this day, October 7th in the calendar year 2010 (and using Lake Vermilion waterfront residential sales as the indicator) the market is within 3 closed sales of being as good as any year since 2005.
The total dollar volume has not taken a significant drop but the average unit sales price is down about 22%. That can largely be attributed to the fact that properties in the sub-$500,000 price range have seen a greater degree of interest than the higher priced offerings.
I would not deny we are in a challenging market. I think it is interesting that we love to dwell on the negative information versus looking for indicators of improvement.
However, if you are a Seller without a sale, this market remains lousy. It should be noted that all sales help all Sellers.
Here’s to better days ahead.