The Important Numbers From the October Market
A list of the crucial market stats that have changed dramatically.
The numbers for October’s real estate market are in, and there’s a lot that you should know, especially if you’re planning to buy or sell a home. A lot of people have been tracking the market closely as the Fed continues to increase rates. There are many things to consider, including the state of the economy, mortgage rates, recession, and more, so here’s what you should know.
First, there were 7,290 active homes on the market, which was a 5% decrease month on month but a 115% increase year on year. There were 3,315 closed homes, a 25% decrease month on month and a 40% decrease year on year. Also, a lot of people are wondering about home values. In October, the average closed home sold for $661,335, a 1% decrease month on month but an 8.2% increase year on year.
"The number of active homes is increasing, but the number of closed homes is decreasing."
Overall, there has been an increase in inventory and a decrease in home sales. Therefore, there's a lot more for buyers to look at, and they can be a lot pickier. For sellers, there's a lot more competition, and they have to incentivize buyers.
Also, it’s worth noting that Opendoor has gone through massive losses, specifically $928 million in Q3, which is over 17 times what they lost in Q2. That shows the acceleration of these vast losses when they were forced to sell vacant homes in a very tough market. Lastly, about 58% of current active homes have gone through price reductions, which was 33% last year, and our active inventory in October had 14,957 units.
That was a lot of numbers, so if you need help interpreting what that means for your specific situation, don’t hesitate to reach out! We're here for you, so call or email us anytime.