Want to know the differences between homes for sale in Philadelphia area and the actual sale prices? You will also learn how the homes for rent are being impacted.
A good friend recently told me that the tv newscasters are proclaiming that we are now in a Buyers Market…….Seriously?
I refuse to watch the news because I can always find more reliable information elsewhere.
So I took a deep dive into our larger market and it’s provided some valuable insight into the actual market activity of the homes for sale in Philadelphia and surrounding suburbs.
This post will break down the differences between homes for sale in Philadelphia area and the actual sale prices. We will also take a look at how the homes for rent are being impacted.
Let’s begin by looking at the homes for sale in Philadelphia Market Area.
Despite what big media is telling us…… the list prices of homes for sale in Philadelphia and the surrounding suburbs appears to have risen in September.
We still have a couple of days left in the month but, my goodness, look at these numbers:
As you can see, the list prices of homes for sale in Philadelphia and the surrounding suburbs are higher than last year.
And the number of homes for sale is at the lowest point all year.
If we were in a Buyer’s Market, the list prices would not be jumping up and we would not have a shortage of houses for sale.
Here’s a graph for my visual folks:
Also, it certainly doesn’t look like the rising mortgage rates have made an impact on what the current homeowners are asking when putting their house on the market.
Matter of fact, it appears to have the opposite effect.
Yes, I am scratching my head over here too.
This is a perfect example of how no one can predict the future of housing markets.
We can only report what is actually happening now or what has happened in the past.
And then, make the best decision we can with the information that we have at hand.
Now, let’s take a look at the final sale prices of the homes for sale in Philadelphia area.
You’ll notice the final sale price of the homes show us a shift in the market climate:
Yes, the median sale prices for the Philadelphia area are decreasing.
(This does not mean that it is suddenly a buyer’s market. )
Also, in our daily appraisal business we are beginning to see more agreements of sale that include home inspections.
And, it’s nice to see the home buyers are negotiating the purchase prices once again.
After all, the definition of market value does not include any one party to be under duress, or any form of auction style selling which we have witnessed over the last 2 years.
But, even though we are seeing some leveling of the playing field, the higher list prices combined with the higher interest rates can be daunting for a home buyer.
As a result, more would-be homeowners are becoming renters.
And, the landlords have begun asking for higher rent prices for Philadelphia and surrounding suburbs.
The graph below shows the trend of median prices that landlords are asking for rent.
However, a search of the Median Rent Prices the tenants and landlords have agreed upon over the last 30 days is $1,893 as compared to $2100 one year ago.
Also, last year the landlord / tenant contracts were agreed upon within a median of 16 days.
Currently, the median number of days is 22.
So, even though the landlords are asking for a higher rent, the actual rent amount has decreased.
Once again, the playing field is beginning to level off.
I love researching the market and taking a closer look at the trends in the smaller or different neighborhoods. We share our stats in our Resources in case you are curious to follow along.
It’ll be really interesting to see what the housing market brings as we move into the fourth quarter of this unpredictable year of homes for sale in Philadelphia and surrounding suburbs.
This post will break down the differences between homes for sale in Philadelphia area and the actual sale prices. We will also take a look at how the homes for rent are being impacted.
