Typically, San Antonio's residential realty market also cools significantly during the fall and early winter months, however, this year, realty sales are exceptionally strong for early November and are projected to continue at a slower but still unusually brisk pace during the remainder of 2013.
In fact, this year has seen a continuation of the highly favorable home sales trend that started in the fall of 2012. Driven by low mortgage interest rates, the area's booming economy, and an influx of residential investor buyers, calendar year 2013's Alamo City area home sales record will likely come close to matching the historically high number of sales seen in 2006 and 2007.
Until recently, buyer demand has exceeded the inventory of new and resale homes and, until late summer, the home supply/demand imbalance caused both list and sale prices to rise unusually fast and the average time to sell a home to steadily fall. Now, because of the slightly slower fall selling season, those trends have stabilized.
Nonetheless, there may be significant changes in the wind. San Antonio has seen a very strong home seller's market for many months, however some realty analysts see the coming of a more balanced market for the San Antonio area in 2014. Why? It appears that the recent dramatic inflation of San Antonio home sale prices is driving too many prospective home buyers out of the market. Consequently, in the coming months, as home affordability decreases, demand will also decrease, thereby driving down sales, upping inventory and, ultimately, causing list and sales prices to fall. Only time will tell if the analysts' predictions will come true. We should know by mid-summer of next year.
That's for the future. For the time being, San Antonio home sellers hold the advantage, as shown by these key indicators for San Antonio's single family detached home sales market as of 4 November 2013:
There are 8642 homes for sale compared to 9396 one year ago. The inventory is very low but stable. The low inventory is a favorable sign for home sellers.
The average sales price for the most recent closings is $207,950, compared to last year's $199,544. That's a 4.21% average price increase and is much lower than the percentage increases seen during recent months. Although still favoring sellers, it might give prospective buyers some hope that home prices are moderating.
Average cumulative-days-on-the-market (CDOM) for the most recent sales is 90 compared to 121 days last year. CDOM data is positive for San Antonio home sellers.
That's all for our November 2013 San Antonio residential realty market report. We encourage reader comments and recommendations about how to make our reports more informative and useful.
Wishing you a peaceful Veterans Day holiday and happy Thanksgiving, we are Stephanie and Randy Kelley, Realtors ® at Keller Williams Legacy, San Antonio. If you have questions, need San Antonio area realty or mortgage advice or assistance, or just want to learn more about our wonderful Alamo City, call
(210) 863-2661 or (210) 867-8743. Our SanAntonioHomeQuest.com Realty Solutions Team is always ready to help you with your home buying or selling needs.
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