As the weather shifts and colors begin to return to the mountains, it appears seasonal trends have also returned to the housing
market. While the pandemic ‘unicorn years’ muted these annual ebbs and flows with disproportionate activity spikes, there has been an apparent slowdown in market activity since the close of summer.
While buyer activity has slowed down since the start of the school year, the market remains competitive due to limited inventory. Home prices in Vermont have experienced a 6.1% increase since this time last year, however the signs of a cool down is demonstrated with median home prices dropping to $397,975 in September from $425,000 in August. While there is a slight dip, keep in mind, this is only regarded as a cooling in price appreciation. Buyer demand still greatly outweighs the current inventory - home prices are expected to hold, if not continue to increase for the remainder of this year.
Let’s discuss inventory. In Chittenden County, for example, the pre-pandemic market would typically see around 350 - 450 single family homes available on a monthly basis. There are currently only 138 available. The short supply continues to provide the strong undercurrent driving our present market.
In response to the competitive market, many buyers are opting to forgo home inspections to make their offers more attractive to sellers. According to a report by WCAX in June, the lack of inspections is trickling down to the inspectors, who say they’re hurting without the business. "This time [of year] you hear we typically are turning down business, and I’ve laid people off and where I’ve got to believe below 50%. I think that would be indicative of most inspectors in the state,” said Steve Dukette, the president of the Vermont Association of Professional Home Inspectors. Steve says his business conducted 730 inspections in 2020, however that number has gone down every year since. Many in the field are seeking other job opportunities due to the lack of available work.
Buyers, rest assured, there are other strategies to secure a home while mitigating your risk. Despite this competitive market, there are opportunities to be found. Be sure to have an experienced agent in your corner to negotiate competitively on your behalf.
In a strong market like this, many homes will sell quickly. However, speed does not necessarily mean you’re maximizing your property’s value - you could be leaving a lot of money on the table. In order to make the most of your sale, you need a thoughtful and comprehensive marketing plan, and pricing strategy. There is certainly much to be gained from this current market, however strategy is paramount to success. If you’re thinking of selling, reach out to us for a private consultation and let’s discuss how we can ensure your sales goals are achieved.
Washington County:
Single-Family Home statistics sourced from NEREN.com
In Montpelier, 7 new homes were brought to the market last month, and 2 of them were successfully sold. The median sales price for September stood at $660,000. When considering this month's data, there appears to be a 22.2% reduction in the number of available homes, while the median sales price has surged by 50%.
In Barre, there were 16 new listings and 12 closings for single-family homes. Last month saw a slightly extended market time with 11 median days on market. The median sales price was $327.5K, a 31.3% increase year over year.
In Waterbury, there were 12 single family homes listed and 13 sales in September. The median sales price was $411k. Compared to this time last year, new listings are down 33.3% while market time is up a significant 291% at 22 days.
Across Washington County, there were a total of 66 new single-family homes listed and 33 sold. Compared to this time last year, closed sales are down 49.2%, while sales prices are up 22.7%.
Lamoille County:
Single-Family Home statistics sourced from NEREN.com
In Stowe, there were 13 new single family homes listed with 11 sales last month. The seasonal shift appears to have had a significant impact on resort towns with the median days on market stretching to 52 days, while the median sales price was $1.4m. Compared to this time last year, there are 30% more homes available.
Across Lamoille County, there were 40 new listings with 26 sales in September. Year over year, there were 10.3% less homes sold while the median sales price increased 38%.
Chittenden County:
Single-Family Home statistics sourced from NEREN.com
In Burlington, last month saw 19 new single family homes brought to market. There were 10 homes sold with 8 median days on market and a median sales price of $540k. Comparing this data to the same period last year, there was a remarkable 56.5% decline in sales, while the median sales price showed a notable increase of 6.2%.
Across Chittenden County, there were 105 new listings and 103 sales for single family homes in September. The median days on market was 8 days while median sales price has climbed 14.1% compared to this time last year.
Franklin County:
Single-Family Home statistics sourced from NEREN.com
Across Franklin County, there were 46 new single family homes brought to market. September saw 48 homes sold with a slightly longer 22 days on market. Year over year, the number of sales has declined 22% with a 14.6% increase in median sales price.
Grand Isle County:
Single-Family Home statistics sourced from NEREN.com
Across Grand Isle County, last month saw 13 new listings and 14 homes sold. The median market time was 41 days and sales price was $397.5K. Based on this month’s sample size, there were 35% fewer homes available and median sales price experienced an 11.9% dip.