New Listings: 18
vs. last week: -28.00%
vs. last month: +5.88%
vs. last year: +63.64%
Avg. Sale Price: $269,023
vs. last week: -32.38%
vs. last month: -31.78%
vs. last year: -17.82%
Avg. Days On Market: 2.67
vs. last week: -73.95%
vs. last month: -96.09%
vs. last year: -91.39%
Absorption Rate: 27.22%
vs. market equilibrium: +10.55%
vs. last week: +0.30%
vs. last month: +2.30%
(based on data from Cincinnati MLS)
Weekly figures are not the best measure of market conditions, because they only measure 7 days at a time. However, they do indicate market direction and fluctuation.
This week, the numbers are chaotic due to the holiday week and the small sample size. The only figure that provides any reasonable insight is the rise in Absorption Rate, for the second week in a row. This indicates that the tight market is getting even tighter.
The absorption rate is a lesser known figure to the general public, but it may be the most important one. It factors in active & pending listings (current inventory), along with the average number of listings sold per month over the past 6 months. The resulting figure is the percentage of current inventory sold each month. Our current absorption rate of 27.22% can also be expressed as a 3.67 months’ supply of homes. This rate is 10.55% higher than the market equilibrium rate of 16.67%, or a 6 months’ supply of homes. When the absorption rate is higher than 16.67%, the market conditions favor sellers. When it’s lower than 16.67%, buyers have the upper hand.