Buffalo Is On The Move!
If you’re just now paying attention, the real estate market in Western New York is sizzling hotter each year. Since 2015, the region has experienced a consistent decline in the number of homes available coupled with an increase in the number of buyers. The result has been a shortage of homes pushing prices higher as buyers compete for what is left.
As of December 2015, the number of single family homes for sale in Western New York was 4,731. In December of 2016, the number of homes for sale dropped to 3,949 and it dropped again in 2017 to 3,204 homes and finally down to just 2,940 by the end of 2018. Conversely, prices in the area have risen steadily going from an average price of around $147,000 at the beginning of 2015 to around $176,000 by the end of 2018, a gain of 16.5%.
Indeed the market is on the move! Days on market has decreased subsequently every year since 2015 as well. The average time it takes a house to receive an acceptable offer is now just 16 days.
In addition, sellers have been receiving more of their list price. Since 2013, the average percentage of list price earned by the seller has increased from 96.4% to 99% by the end of last year.
One interesting insight is that the average number of showings needed to get a home sold has actually increased. In 2017, it took about 3 showings to get an acceptable offer. That number is slightly up this year at an average of 5 showings needed for a home to sell. It seems that despite the shortage of homes, buyers are feeling less pressure to make a decision right away.
Looking forward into 2019, the Buffalo real estate market is expected to perform similarly to how it has over the past few years. Western New York historically has been insulated from huge swings in its housing sector, unlike in metropolitan areas with larger cities like Los Angeles, or Miami which experience bubbles and crashes much worse. Also, the increase in jobs available and continuing trend of young professionals moving back to the city indicate an optimistic outlook. Feel free to check back regularly as we update you on the market each quarter with news and interesting information on where Buffalo real estate is headed.