Under $100K Home, 1000 Days on the Market!

While most properties in Manchester CT quickly go under contract within a few days of being out on the market, the most expensive home, The Cheney Mansion listed at $2.45M, remains available and up for grabs. Interestingly, the lowest-priced home under $100,000 has been on the market for 1,000 Days. Unfortunately, there are no other information available to explain the why this property has not been sold yet.

I advocate strongly for home ownership because real estate is a solid investment. Although we had meltdowns in the past, real estate values, historically, continue to go up.

Single Family Homes for Sale as of January 4, 2021

• Units for Sale: 31. Last Month: 45. ⬇ by 14 units.
• Average List Price is $377,532 with 4 bedrooms, 3 bathrooms and average square feet of 2,743. ⬇ this month by $1.95/ sq. ft.
• Median List Price is $269,900 with 3 bedrooms, 2 bathrooms and median square feet of 1,853. ⬇ by $1.50 sq. ft.
• Most Expensive Home is $2,450,000, the Cheney Mansion, with 26 rooms including 9 bedrooms, 5 full bathrooms and 3 half bathrooms, and 13,697 square feet of living space. The Days on the Market is 195 Days.
• Least Expensive Home is $89,900 with 3 bedrooms, 1 and 1/2 bathroom and 1,152 square feet of living space. Days on the Market is 1,000 Days.

Single Family Homes Under Contract for the month of December 2020

• Units under Contract: 49. Last Month: 74. ⬇ by 25
• Average List Price is $249,362 with 3 bedrooms, 2 bathrooms and average square feet of 1,508. ⬆ by $13.50/ sq. ft.
• Median List Price is $224,900 with 3 bedrooms, 2 bathrooms and median square feet of 1,508. ⬇ by $10/ sq. ft.
• Most Expensive Home is $508,000 with 4 bedrooms, 2 full and 1 half bathrooms, and 2,510 square feet of living space. The Days on the Market is 130 Days.
• Least Expensive Home is $140,000 with 3 bedrooms, 1 full and 1 half bathrooms, and 1,080 square feet of living space. Days on the Market is 92 days.

Sold Single Family Homes in December 2020

• Units Sold: 60. Last Month: 48 . ⬆ by 12 units
• Average Sale Price is $230,960 with 3 bedrooms, 2 bathrooms, and average square feet of 1,489. ⬆ by $7.90 sq. ft.
• Median Sale Price is $216,000 with 3 bedrooms, 2 bathrooms and median square feet of 1,334. ⬆by $5.50/ sq. ft.
• Most Expensive Sold Home is $470,000 with 4 bedrooms; 2 full and 1 half bathrooms; and 2,868 square feet of living space. It sold for $9,900 less than the asking price. SP/LP is 98%. Days on the Market is 12 days.
• Least Expensive Sold Home is $118,000 with 3 bedrooms, 1 full bathroom and 1,030 square feet of living space. It is sold for $12,000 less than the Asking Price. SP/LP is 90%. Days on the market is 103 days.

Significance of the Current Inventory and Absorption Rate

Manchester CT Sold Homes from December 31, 2019 to January 1, 2021 converted into an absorption rate give us an approximate length or period of time when the current inventory of 45 units would be depleted. Five Hundred Seventy One (571) single family homes were sold within a period of one year.

Given the absorption rate of 47 units sold in a month, the Town of Manchester, currently, has barely 1 month of worth of inventory. This is an emaciated supply of properties. With this inventory, unless demand is curtailed, home prices may increase continuously and leverage will remain with the sellers.

Absorption Rate: “The rate at which available homes are sold in a specific real estate market during a given time period.” Click on the link for a better explanation of Absorption Rate.

Understanding Mean(numerical Average) and Median:

“The median takes into consideration the middle value of the set of data. However the mean/average takes into consideration all of the values. Therefore high or low values will effect the mean/average. If the mean/average is a lot higher than the median, there is an unusually high value that pulls the average price up. If the mean is a lot lower than the median, there is an unusually low value that pulls the average price down.

In most cases, the reason the median price is used rather than the mean is mainly because it is a more accurate indicator of the market.

Planning to buy or sell properties in Manchester Connecticut ? Make sure to have the best representation. Contact Maria Gilda Racelis of Home Buyers Realty at 860.995.9473. Visit her website www.hbrsales.com