Signs of a Neutral Market

If the month of February is any indication of where home sales are heading, the housing market in Venice (including the Island) may have reached a true place of balance, with prices stabilizing and yielding modest appreciation.

1. Homes for Sale, Sold, Pended & New Listings in February 2014

• Homes for Sale: 767 homes; up 0.3% from last month, up 7.9% from last year.
• Homes Listed:  235 homes; down 22.2% from last month, down 2.5% from last year.  When new listings drop 22% in one month, particularly in prime season, that becomes an important number to watch.
• Homes Closed:  141 homes; down 0.7% from last month, down 2.1% from last year.
• Homes Placed Under Contract:  227 homes; up 6.1% from last month, up 2.3% from last year.

2. Average Sold Price per Square Foot in February 2014

• Average Sold Price: $130 per square foot; up 0.4% from last month, up 4.8% from last year.

3. Average Days on Market & Sold to List Price % in February 2014

• Days on Market:  75 days; down 2.6% from last month, down 22.7% from last year.

• Sold to List Difference:  95%; up 2% from last month, up 1.1% from last year.

NOTE – This tends to be a constant, i.e., the sold price to final list price are regularly within 95% of each other.  What this means to a seller, is that as a general rule, a home will not sell until the list price is no greater than 5% from a home’s fair market value (sold price).

4. Average Active List Price, Average Sold Price & Median Sold Price in February 2014

• Average Active List Price:  $274,000; up 0.7% from last month, up 2.2% from last year.

• Average Sold Price:  $207,000; up 4% from last month, up 8.4% from last year.

• Median Sold Price:  $164,000; up4.5% from last month, up 2.5% from last year.

5. Months of Inventory Based on Closed Sales in February 2014

Months of Inventory: 5.4 months; up 1% from last month, up 10.2% from last year.  NOTE:  3-6 months is considered a neutral market, fair balance between buyers and sellers.