Hello Central Kentucky!
If you’re in the process of buying or selling a home in Versailles-Woodford County, Kentucky or if you are just curious about the current market there, you’ve come to the right place. Welcome to our update of the latest local real estate trends as of November 2023.
Prefer a video format? Visit our YouTube Channel: https://www.youtube.com/@century21simpsonassociates
We’re going to explore the five real estate indicators that are shaping the housing market in Versailles-Woodford County and how each impacts buyers and sellers. By the time we’re through, you’ll have a comprehensive understanding of who benefits given the current market conditions. We’ll even take it a step further by covering what buyers and sellers need to know to make the best real estate decisions.
And, we’re off!
The first indicator is Months Supply of Inventory. This indicator reveals how long the current inventory of properties in Versailles-Woodford County would last at the current rate of sales.
In November 2023, the Months Supply of Inventory stood at 1.96 months, indicating that if no new properties were added and sales remained steady, it would take almost 2 months or around 58 days to sell all the properties on the market.
Compared to the previous month, the Months Supply of Inventory rose 4.3%. Looking back a year, it is down 12.9%.
Six months supply of inventory represents a balanced market, favoring neither buyers nor sellers. With the current 1.96 months supply of inventory, buyers still find that homes are snatched up quickly, potentially leading to multiple offers and increased competition. For sellers, it indicates that the market is moving at a quick pace. This presents a favorable environment for sellers looking to make a move in the current market conditions.
Now, let’s shift our focus to the Current Inventory. This indicator gives us a snapshot of the number of homes currently available for sale. It’s important to note that the number of homes on the market can vary as it depends on when the report is generated. By consistently using the same day each month, we can establish meaningful month-to-month trends.
As of November 15th, there were 42 unsold homes available on the market in Versailles-Woodford County. This represents a 5% increase compared to the previous month. When compared to last year, we observe a decrease of 28.8% in the number of unsold homes on the market.
The Current Inventory serves as a balancing act for both homebuyers and home sellers. Buyers have a few more options to consider than last month making it just as hard to find a home that perfectly matches their preferences and requirements. Sellers operate in a market where demand remains robust. With the right pricing and marketing approach, sellers can stand out in the crowd.
With the current inventory holding relatively steady, this indicator continues to favor sellers.
Next, the Existing Home Sales Volume measures the total sale price value of properties whose sales contracts were completed during the month.
In November 2023, a total of 7.5 million dollars’ worth of property was sold in Versailles-Woodford County. This represents a 4.4% increase compared to the previous month. When compared to last year’s 5.5 million dollars’ worth of sold property, we observe that the existing home sales volume is up 34.8%.
For buyers, this shows more market activity which could lead to more competition. It might signal a moment to make your move, especially if you’ve been eyeing a property.
For home sellers, it indicates that there’s substantial activity in the market compared to last year. It’s a sign that you’re operating in a market where buyers are eager to purchase.
It’s important to note that the Existing Home Sales Volume indicator favors neither buyers nor sellers. Instead, it provides a gauge of the market activity during this period.
Now, let’s turn our attention to the Median Sales Price, the most requested real estate indicator. The Median Sales Price provides insights into the midpoint price of homes sold in a specific area during a given month. Unlike the average sales price, the Median Sales Price eliminates the influence of exceptionally high-priced homes, giving us a more accurate representation of the market.
In November 2023, the median sales price for a home in Versailles-Woodford County stood at $275,000. This reflects a significant price decrease of 19% compared to the previous month. Prices are also down 3.5% or approximately 10,000 dollars over last year.
Buyers, this decrease should catch your attention, but it’s essential to view it in context. It’s often a sign of a shifting market, and for buyers, it presents an opportunity. While prices are down, it’s likely they will increase given the low inventory.
Sellers, you might be concerned by the reduction in home prices. However, it’s crucial to recognize that real estate markets are dynamic. This is part of the natural market ebb and flow. While the Median Sales Price is down compared to last month and last year, it’s likely they will increase given the low inventory of available homes and increased market activity. For sellers, it might be a moment to reassess your pricing strategy, but it doesn’t signal a crisis.
It’s a reminder that this is still a seller’s market.
Before we summarize the 5 key indicators for November 2023 and reveal who benefits from the overall market in Versailles-Woodford County, let’s take a look at the Continuous Days on Market, an indicator that provides insights into the average number of days it takes for a listing to go under contract. This calculation considers the period from when a property is listed until it is under contract, subtracting any days when the property was off the market.
In November 2023, the continuous days on market for Versailles-Woodford County stood at 43 days. This represents a noticeable 50.5% increase compared to the previous month. When compared to last year, we observe a 10.3% increase in the continuous days on market, when homes were on the market for an average of just 39 days.
For buyers, the increase in Days on Market means they’ll have more time to search for a home and won’t need to act as swiftly if they find a property they love. With the increased days on market, the competition among buyers decreases.
For sellers, the overall market continues to move at a fast pace. There is demand for your home. Increased days on market can mean more time, effort, and cost spent on property maintenance and holding costs. Homes are still selling providing a favorable environment for sellers.
Now, let’s recap the valuable insights we’ve gathered about the key local housing market indicators for November 2023 in Versailles-Woodford County, Kentucky.
We determined that the Months Supply of Inventory favors sellers, indicating that homes are still selling at a fast pace. This creates an advantageous environment for sellers in terms of pricing and competition.
Current Inventory favors sellers with the low inventory holding steady.
The Existing Home Sales Volume, as we mentioned, is a gauge of the market activity during this period and favors neither buyers nor sellers.
The Median Sales Price, reflecting the midpoint price of homes sold, also favors sellers. While the median sales price decreased in November it remained close to 2022 prices.
Lastly, even with the increase in the Continuous Days on Market, the indicator shows that homes continue to go under contract quickly, favoring sellers who can find buyers faster.
Considering these key metrics collectively, the overall market indicators for November 2023 in Versailles-Woodford County, Kentucky favor sellers.
Before we sign off, we want to provide some practical guidance for both buyers and sellers.
Inventory rose slightly compared to last month, meaning that you now have a few more homes from which to choose!
Mortgage interest rates are high and falling. When interest rates adjust, decisive buyers have a narrow window to capitalize while others may pause to consider. Remember the adage, “Marry the home and date the rate”. If you find your home, you can potentially refinance as rates settle back down.
Prices are down from last month; however, that trend isn’t likely to continue. With low inventory and increase market activity, it’s likely prices will go higher.
If you find the right house, wouldn’t it be great to make the move while all these factors are in your favor?
Timing the market is nearly impossible! The best we can do is read and react to the data available.
Prices are down for the month and the year! Given the low inventory levels, well-positioned listings with a great mix of price and condition still sell quickly. Days on market is 43 days, which means homes continue to go under contract quickly.
Have your REALTOR run the numbers based on the market and see if that achieves your financial goals. It’s best to act now if you’re ready to sell.
If you liked this market update, share it with a friend and please reach out if you have any questions or suggestions.
Our goal is to equip you with the knowledge you need to make informed real estate decisions in Versailles-Woodford County.
Each month, we explore the latest local real estate trends of Central Kentucky counties. In addition to Versailles-Woodford County, we provide updates on Frankfort-Franklin County, Lexington-Fayette County, Georgetown-Scott County, Nicholasville-Jessamine County, and Lawrenceburg-Anderson County. And if you’re interested in a broader perspective, be sure to watch our monthly national real estate metrics videos.
Please join us next month for more insights.