Finishing the first quarterof 2018, the real estatemarket in West Arvadacontinues to move upward andoutward. Our median sales pricerose 4.65% year-over-year fromQ1 2017 to Q1 2018.
Days on Market (DOM)dropped from an average of 59days last year to 29 days thisyear and total sales increasedmarginally from 110 units to118 units—however the marketflip-flopped in that more resalehomes were sold this year versusnew builds. By this time last year,we closed 47 resale homes andthis year we have sold 72.
More surprising are differentialswithin our submarket. The biggestshift was the percentage changein Ranch floor plans sold—morethan doubling from last year—and the price per square footexploded a remarkable 24%,which is a testament to ourpopulation getting older overall.In similar fashion, the DOMdropped an amazing 20% forRanch floor plans compared tothis time last year.
On the flip side, the TwoStory floor plans were steady,having risen in price only 4.65%year over year and, unlike theRanches, the DOM actuallyROSE by almost 30%! So, youcan see that a Two Story tells afar different story than a Ranch.This is the benefit to stayingapprised of market shifts—if thiscontinues we will see prices inTwo Stories potentially stall.
In our reviews, we have seena notable shift in marketingstrategies and, while some arequite funny, others border onsuspect—on the day of writingthis the number of pricereductions matches almostperfectly to the number ofnew listings. My theory is thatmany folks are taking overallmarket numbers and applyingthem across the board withoutregard to the factors that actuallyinfluence price.
We have experienced adramatic improvement inpricing by investing into aproperty using our new StagingPLUS service. House staging hasalways been FREE when youlist your home with us. WithStaging PLUS, we come in andassess a property then create acomplete redesign plan that wethen execute for you… you don’thave to do a thing!
Unusual is the number ofnewly built homes which arebeing resold almost immediately.The big question is… why? Isit speculation? Unhappy buildprocess or result? Or change ofcircumstances by the time thebuild was complete? Who knows.
Enjoy the Spring and if youhave plans to move, we welcomethe opportunity to serve you!