Market Conditions & Trends
Custom Home Lot Sales
The market velocity was up significantly in 2011 with with monthly Pending or Closed Transactions up “5-fold” compared to the prior 3 year average – The number of Sold vs. Listed properties is increasing substantially – The gap between List Price & Sold Prices in narrowing – Prices at the bottom of the market are steadily and significantly moving upwards.
| Custom Home Lots | |||||||
|
5 yr Avg
|
2006
|
2007
|
2008
|
2009
|
2010
|
2011
|
|
| List Pice/Acre |
$449,880
|
$529,205
|
$552,308
|
$475,915
|
$432,208
|
$395,731
|
$440,956
|
| Sold Price/Acre |
$463,700
|
$688,770
|
$792,839
|
$699,344
|
$350,680
|
$257,771
|
$236,754
|
| Closed vs Total Listed |
24%
|
34%
|
29%
|
13%
|
16%
|
28%
|
6%
|
| % of List Prices |
99%
|
130%
|
152%
|
140%
|
81%
|
65%
|
54%
|
| Days on Market |
468
|
386
|
424
|
482
|
485
|
483
|
489
|
Custom Home Sales
The Average Custom Home size has remained in a narrow range between 5,200 & 5,400/SF for 3,800/SF to 12,000/SF homes built after the year 2000. Custom home lot sales peaked during the 1st Quarter of 2008 while Custom Home Sales Prices peaked a year earlier during the 1st Quarter 2007. The Replacement Cost Value (cost to produce) a custom home including land starts at about $200/SF and we are well above that price. In spite of the worst economic downturn since the 1930′s the number of total Listings on the market remained in a narrow range for the five years 2007 thru 2011.
| Custom Homes | |||||||
|
5 yr Avg
|
2006
|
2007
|
2008
|
2009
|
2010
|
2011
|
|
| Avg Size.SF |
2,297
|
5,227
|
5,248
|
5,290
|
5,320
|
5,331
|
5,499
|
| List Price/SF |
$331
|
$376
|
$385
|
$362
|
$313
|
$303
|
$349
|
| Sold Price/SF |
$289
|
$378
|
$396
|
$339
|
$246
|
$237
|
$247
|
| Closed vs Total |
52%
|
47%
|
46%
|
42%
|
55%
|
59%
|
11%
|
| % of List Prices |
87%
|
101%
|
103%
|
97%
|
79%
|
78%
|
71%
|
| Days on Market |
282
|
243
|
268
|
285
|
294
|
287
|
282
|
Bulk Land Sales
Bulk land sales will typically lead the values to the upside as the market recovers and 2010 is illustrating a strong investor demand emerging buying bank REO assets. 2011 results indicates that investors are buying and well located larger land parcels are being acquired at increasing prices.
| Bulk Land Sales | |||||||
|
5 yr Avg
|
2006
|
2007
|
2008
|
2009
|
2010
|
2011
|
|
| Avg List Price/Acre |
$206,964
|
$230,120
|
$238,609
|
$211,500
|
$201,340
|
$195,021
|
$197,725
|
| Avg Sold Price/Acre |
$228,317
|
$289,907
|
$390,199
|
$313,489
|
$177,292
|
$141,586
|
$147,800
|
| Closed vs Total Listing |
16%
|
27%
|
17%
|
7%
|
11%
|
21%
|
4%
|
| % of Avg list Prices |
107%
|
122%
|
164%
|
150%
|
88%
|
73%
|
75%
|
| Cumulative Days on Market |
507
|
473
|
518
|
479
|
532
|
518
|
318
|