December 2016 St George real estate market report, brought to you by Paula Smith of Red Rock Real Estate
This report will take a look at current sale statistics as well as comparing last year with this year. This report will include residential homes in the Greater St George area (which includes: Santa Clara, Ivins, and Washington).
For November 2016, there were 252 SOLD HOMES. This number is slightly lower than previous months, however as we approach the holidays it is not uncommon for the number of sales to slightly reduce (notice similar results for November 2014 as well as 2015). It’s also interesting to note that the inventory remains low, having under 1,000 active homes listed, since August 2016. It’s likely that sales will slightly increase for December, as buyers are looking for investment opportunities as the year ends.
What Price Point is Selling?
Buyers frequently ask “how is the real estate market in St George”. My answer is typically the same, “we’re doing great!” Here in St George, we really never have a time we don’t sell homes, and overall for the past several years our sales are very steady. Prices have gone up, and I do expect they will continue to rise, though unlikely at record breaking paces. It’s likely that interest rates will finally start to increase; this could slow down or stop any overall price increases, as many buyers are on a fixed payment. Rising interest rates could cause buyers to start looking at slightly lower price points to achieve their desired payment, so motivated sellers may have to slightly reduce in an effort to stay within the price point of some buyers. Because our inventory is so low, especially in lower price points, it is very unlikely we will see a real decrease in prices, even if rates climb faster than expected. If for some reason, we witness a surge of inventory, then it’s possible prices may reduce, but at this point I do not foresee that occurring. Year to date, the St George real estate market is about 5.4% higher in median sale price, over last year.
In the past six months (July 1, 2016 - December 7, 2016) the price point with the most sales is $150,000 - $249,000. This price point accounts for 39% of the total number of sold homes. (There were a total of 1791 homes sold during this period). It’s also interesting to note that there were 873 homes “active” during this period, and of those, 18% were priced within this price point. Clearly, it’s a very sought after price and there is not much to choose from.
Luxury Home Sales in St George Utah
High end homes are doing well this year. In the past 6 months, there have been 80 homes sold priced $600,000 and above. That’s 4.5% of the sold homes. In comparison to the same time last year, when 4% of the homes sold during this period were sold at $600,000 or above. YTD we are almost dead even with luxury home sales in comparison to 2015.
Do you have specific reports or statistics you’d like to see? Send me a message! If you’re thinking of buying or selling, please give me a call. I have been in St George and selling real estate for over 10 years now. I study the market conditions and I listen to buyers and sellers. Give Paula Smith a call today, lets talk!