The number of homes entering the market in Woodbury has been level from 2005 till late 2007 were the number of Home Sellers entering the market started to decline and quickly quickly. Since 2012 began the number of homes entering the market has leveled off.
With fewer homes entering the market there will be less competition among homeowners in Woodbury resulting in a shortage of Homes for Sale and rising Home Prices.
Home Sales & Housing Inventory
The number of homes for sale in Woodbury (Housing Inventory) increased pretty quickly from 2005 till about Summer 2008 and has been falling pretty quickly since then. With the Homebuyer Tax Credit in 2010 Housing Inventory slowed down a little bit when the Tax Credit Expired. To some degree it made things worse versus better. Since about mid 2011 Housing Inventory has been falling on it’s own very quickly. Fewer homes entering the market is one contributor to fewer homes for sale as well as rising Home Sales, which had a steady incline starting in around 2011.
If Housing Inventory continues to fall this may result in fewer Home Sales, which isn’t necessarily a bad thing since fewer homes for sale will push home prices up.
Our next chart clues us in to what Market Conditions are in Woodbury.
- Buyer’s Market = More than 7 Months of Inventory
- Balanced Market = 5 – 7 Months of Inventory
- Seller’s Market = Less than 5 Months of Inventory
In any given month market conditions can favor just about anyone, which is why we want to look at conditions on a twelve month average to see what the trend is. In this case Woodbury is trending in a strong Seller’s Market, similar to 2003/2004 numbers. The Absorpriton Rate is trending down at 4.1 Months of Inventory, which is considered a Seller’s Market. Conditions have been primarily favoring Sellers since Spring 2012.
The Median Sale Price for homes in Woodbury has depreciated 3% since 2002, 22% since 2006 and has appreciated 1% since 2011.
As Inventory continues to decline and the market in Woodbury continues to favor Sellers Home Prices should continue to appreciate.