Market Update Information
Greater Louisville Area | Heart of Kentucky Area | Southern Indiana Area
Brokerage companies like Semonin track selected statistics to give a snapshot of how a marketplace is changing from one point in time to another. Market Snapshots are also used to record seasonality in our business. It is not hard to see December real estate sales will never be as high as the springtime months of April, May and June. By recording statistics on a weekly basis, Semonin accumulates information to help us see trends in the marketplace.
The marketplace Semonin operates is north and south of the Louisville Kentucky area from southern Indiana to a little south of Elizabethtown. The graphic image below provides a picture of this marketplace.
TUESDAY MARKET SNAPSHOT GRAPHS
Active Residential Inventory
The level of active residential inventory in any marketplace goes up and down depending upon consumer supply and demand as well as seasonality. Below are graphs which compare the current year to the previous two years unsold residential inventory. The level of inventory has decreased greatly in the last fiew years and continues to stay at low levels..
Months of Inventory Levels
One measure of market activity used in the real estate industry is the months of inventory currently on the market. If you take the last 30 days of SOLDS and divide that number into the active inventory you will get the months of inventory on the market. The "months of inventory" number tells you how many months it will take for existing inventory levels to sell out. In reality, this number NEVER goes to zero. It moves from the low single digits (a seller's market) to higher numbers (a buyer's market).
Months of inventory is just a market status number. Neighborhoods or selected zip codes may have vastly different months of inventory than the general marketplace. This is where a Semonin realtor can help you determine the values in your local area and the values for your own personal home.