We hope this finds you well as we near the holiday season. Attached you will find the Gillette Real Estate Market Update for this month. Notice that the absorption rate has continued to drop and now sits at exactly 6 months. This indicates a perfectly balanced overall market. However, a closer look at the numbers reveals a tale of two markets.
Homes under $300,000 continue to be the most active. This price point continues to be driven by foreclosures and new construction. Buyers and investors have been taking advantage of the deals on foreclosures which explains the very low absorption rate for homes under $120,000. Buyers are also taking advantage of the new construction between $200,000-$300,000. We have some builders that are offering quality products at this price point. Couple that with record low interest rates and it is a very attractive option for many buyers.
The higher end homes continue to be the slower end of our market. Low inventory can show some misleading numbers when a couple of sales occur, and we are still seeing these homes sit on the market for longer periods.
Please don’t hesitate to contact us when you have questions. Also feel free to pass this along to anyone who may find it useful. Happy Thanksgiving to you and yours!