The real estate market is characteristically quiet from November to February. But serious buyers and sellers tend to be more motivated during this time of the year, so don’t assume it's a bad time to buy or sell, real estate blogger Len Dunikoski tells readers.
Dunikoski gives a full analysis of the market in Red Bank, pointing to four key indicators — number of sales (demand), number of listings (supply), price and absorption rate.
Analyzing first the number of sales for the year in Red Bank, Dunikoski says that "at the end of the 3rd quarter, the sales of single-family homes in Red Bank increased 33 percent compared to last year. The number of sales is an indicator of demand: more sales tend to drive prices higher, whereas fewer sales typically predict lower future sales prices."
Next, he takes into account the number of listings. Red Bank has had a low inventory, or supply, of homes on the market most of the year, Dunikoski says.
As of the end of September there were 14 percent fewer listings than a year ago. Fewer listings normally result in increased prices, while more listings tend to push prices up since would-be buyers have more houses to choose from.
The third key indicator Dunikoski factors in his analysis is
price. For instance, he says that as
of the end of September, the median
single-family home price in Red Bank was 1 percent higher than it was a year ago,
and the average price was up 9 percent.
To see all the numbers in a breakdown and read Dunikoski's conclusion and explanations, read the rest of his blog by clicking here.