The Woodlands real estate analysis highlights this list price range as the “sweet spot” for investors seeking to participate in the active rental market in The Woodlands. Homes that meet the value, condition and location criteria are under contract within a day of entering the market. As a result of this investor interest, inventory in this list price range is 58% less than same period last year.
Written contracts in this list price range for 2012 were 27% higher than 2011. 2013 is expected to show a significantly higher percentage over 2012. The number of contracts will be limited only by number of available homes for sale that meet the value, condition, and location criteria.
Days on market is defined as number of days from list date to contract date. This category always lags one month since it is based on contract activity. At 50 days for the month of December compared to an overall market of 75.2 days on market, this means there are more buyers than seller in this list price range.
Months of inventory is defined by the National Association of Realtors as current inventory divided by the average number of monthly sales for the previous 12 months. A months of inventory above six is defined as a buyer’s market; a number below 6 is defined as a seller’s market. Six months is defined as a balanced market. Months of inventory in this list price range as of today is 1.2; lower than The Woodlands current real estate overall market 1.7 months.
This chart indicates the actual sale price of the home compared to the listed price. 2012 average was 97% compared to The Woodlands overall average of 96.3%. With multiple-offers beginning to occur in this list price range, I expect the percentage to nudge closer to 100% during the peak contract months of 2013.
Beginning in February, I will continue to discuss the various list price ranges that demonstrate the most activity plus we will begin selective comparisons such a appreciation values among the different villages.