The Greater Reno/Sparks Market Report for October 2012 has been released by the Reno/Sparks Association of REALTORS. This month’s report data shows that local sales remain strong despite lower inventory levels. Total 2012 year to date sales regionally are ahead of 2011 by 161 sales. If this trend continues through year’s end, the market will outpace the performance back to 2005. The sales statistics in MLS Area 122, which includes all of Somersett, are also on track to outperform last year with 186 homes sold YTD through Nov 20th, compared with 187 homes sold in all of 2011 (source: Northern Nevada Multiple Listing Service – NNRMLS).
Current residential inventory (not including Pending or Active/Pending) in the Somersett area sits at just 33 available homes. This short supply is expected to continue to drive the median price higher, just as it has for the past nine months.
At the recent NAR Annual Conference in Orlando, Lawrence Yun, NAR Chief Economist, reported that four years from now there will be an even greater disparity in wealth distribution. “People who purchased homes at low prices in the past couple years, including many investors, can expect healthy growth in home equity over the next four years, while renters who were unable to get into the market will be in a weaker position because they are unable to accumulate wealth. Not only will renters miss out on the price gains, but they’ll also face rents rising at faster rates.” Yun projects the market share of distressed sales nationally will decline from about 25 percent in 2012 to 8 percent in 2014. Since the Reno market has a higher share of distressed properties, the time to absorb the distressed inventory will likely take longer.
If you have been thinking about selling, this may be the best time to sell in many years. Prices are up and available inventory is down. We would be happy to provide you with a no obligation market analysis of your home and help you understand the current Seller’s market. Please contact us with any questions.