The Lake Havasu real estate market is booming, and several key indicators are pointing to a robust market in 2017 as well. First off, lets consider the statistics for Lake Havasu home sales as of Sept. 30, 2016:
- · Median List Price $327,263
- · Average List Price $371,817
- · Total Inventory 514
- · Price per Square Foot $171
- · Average Home Size 1,874
- · Median Lot Size 11,761
- · Average # Beds 3.12
- · Average # Baths 2.35
- · Homes Absorbed 42
- · Newly Listed 37
- · Days on Market 142
- · Average Age 18
The key factors that we are going to want to consider are the median list price for a single family home and the average amount of time that single family homes spend on the market. In Sept, the median list price of a single family home in Lake Havasu ws $327,263. This is up from around $291,000 in April and $297,000 in January of this year. This is a very favorable sign, as increasing prices shows a rising demand for homes that are being purchased. While the average number of days that a listing is on the market is increasing from 133 in April to 142 in September, we can assume this would happen as higher priced homes will tend to stay on the market longer in most areas.
What does this mean for Lake Havasu real estate buyers and sellers? In a nutshell, it is very good for sellers and an indication that buyers should make their purchases before more time passes and prices go up any further. We are seeing a market where there was a slight dip that happened from the beginning to the middle of the year, this dip being not only made up for but increased significantly in the latter half of the year. In circumstances where we see median price fluctuations that show significant increases in average prices, it is an indication that the demand for properties is outstripping the amount of available inventory. Without a large increase in the available inventory in the form of new builds or significant social signals that indicate that a pattern is being followed, we must assume that prices will continue in the same direction, as there is nothing to stop this process from continuing. Sellers are simply able to ask more for their properties due to the fact that there is less competition and more buyers willing to pay that price. Those speculating on real estate in the area would consider this a bull market, or a sellers market. If you are interested in selling your home in Lake Havasu, this is an excellent time to do so because the prices should be able to reflect a profit over the price you paid even if you purchased only one year ago.
If you are interested in purchasing a home in Lake Havasu, it would be wise to move quickly. In a rising market that shows no reason that would stop the current trend, those looking to purchase within a certain price range will find themselves with less and less to choose from as more time goes on. While this is not the best situation for buyers who would much rather be able to make offers below asking price and get more for their money, it actually works to your benefit on purchases that are made before average prices rise again next year. This will build equity in your home quickly, making you new home worth more than you paid for it in no time. While there is no exact way to predict the exact state of the Lake Havasu market year to year, all indications are pointing to the trend continuing, thus allowing those who are entering the market to quickly have a home worth far more than you paid.
What does this mean to those buying or selling real estate in our city? Thats easy, it means that more people are buying properties here than are selling them, and that is good for everyone who owns property as all values are increased. Those who are considering selling their home will be pleased to know it is probably worth much more than they paid, and can be sold at a profit. Those buying a home will probably not have to wait very long to be in the same situation, where your new home has risen in value and is now able to be sold at a profit if you want.