Absorption rate, the leading indicator of trending market activity, is up remarkably in January 2012. This tells us that of all of the homes available for sale, a larger and larger chunk are being sold (absorbed) by the buying public. With absorption rates this high, buyers will find themselves competing for the more-desirable homes on the market. The laws of supply and demand would indicate this is an ideal time for home sellers to come to market if they have a home they need to sell this year.
Footnote: The Mercer Island stats are very skewed by a significant number of lower end sales. This happens because with only 13 sales any few sales can create the appearance of a trend.
Data prepared and analyzed by Julie Nugent for Windermere Real Estate/Mercer Island. For questions or comments, email Julie at julie@windermere.com.
Julie
February 9, 2012
Monthly Reports