Let's Analyze the Data!
We all felt the change in the market going into Q3 2022. Average and median sales prices continued to rise, but days on market, days to offer, and inventory levels began to rise as well. Active single-family inventory rose almost 42% compared to Q2 while active condo inventory rose almost 17%. Slide 4 in each report, Median List Price vs Median Sale Price, shows that this increase in inventory came with a decrease in sale-to-list price ratio. While still over 100%, the sale-to-list price ratio had declined for single-family homes from 104.76% in 2021 to 102.76% in 2022. Condos were similar at 102.04% in 2021 and falling to 101.97% in 2022. This indicates while pricing remained strong, there were fewer multiple-offer situations driving demand above list price.
I’d like to point out that in slide 9, Monthly Average Days to Offer, you can see quite a difference in September from July and August for single-family homes. This will be a trend line to watch as we move into the last few months of the year. Days to offer in September for single-family homes have gone up to 21 compared to 16 last September. This is a strong indicator that buyer activity has slowed from the frenzy we experienced most of 2021 and early 2022.
Finally, you can see on slide 5 that total market volume was down for Q3 compared to Q3 of 2021. Since prices remained high, this change is attributed to the decline in units throughout the market.