Market Profile Report – Reno/Sparks – July 2020
While these are unprecedented times, people still want and need to buy and sell real estate for many reasons. We continue to take steps to ensure that we are as prepared, proactive and safe as possible. If this is not the right time for you to buy or sell, we certainly understand and will be here when it is the right time for you.
Below is an update on the Reno/Sparks real estate market. Our analysis focuses on single family home activity in the region for the month ending June, 2020.
The median price in Reno/Sparks increased 1.8% from May to June, from $399,900 to $407,000. It is truly the shortage of inventory in nearly every price range that is helping to boost median price. When comparing year over year, the median price is up by 1.8% over last year, which is a healthy growth rate.
Reno/Sparks REALTORS sold 537 homes in June, which was a 33% increase from May, but a 6% decrease from last year at this time. Part of the year over year decrease was due to a combination of the last 4 months of COVID precautions, as well as an exceptionally robust market in June of 2019.
In June, 656 new listings entered the market, which was a welcomed increase of 8% compared to May. When comparing year over year, the number of new listings went down by 17% from June 2019. This is contributing to the inventory shortages, and is expected to drive median price up in the coming months.
From June to May, the number of available single-family homes for sale decreased by 22% to 708 homes. Before this decrease, we saw two consecutive months of increased inventory in the region. The year over year number of available listings decreased by an incredible 51%.
The Months Supply of Inventory (MSI) represents how many months it would take to sell all the homes currently available if no new homes entered the market. As of the end of June, the MSI was 1.31 months overall, which is 48% lower than the supply we had a year ago.
What does all this mean if you are looking to buy or sell a home? If you need to move, this is an excellent time to sell with very little competition resulting in multiple buyer offers in many neighborhoods. For buyers, today’s low interest rates may make this a great time to purchase, however the inventory shortages and fast market times means it’s important to be pre-qualified with a lender before looking at homes.
As always, if you have any questions about this report or the real estate market in our region, please reach out. It would be a pleasure to assist you.
