A look back at Summit County real estate for 2011 and ahead into 2012

Jan 23, 2012 | No Responses

Looking back at 2011, it was a good year for Summit County real estate. Of course ‘good’ is a relative term. The fact we had an 11% increase in the number of sales over 2010 is a good thing. In fact, in September 2011 we had the highest number of sales for one month since November 2007. That’s a really good thing! 2007 was the last year of an incredible run for Summit County real estate. Sales really fizzled out in 2008, dropping nearly in half and continued to decline in 2009. Sales numbers have been increasing at about 10% a year since. Seeing such a strong month last year gives us optimism about what 2012 will bring.

Inventory levels were down about 10% during most of 2011. We saw supply decrease and demand increase helping to get us back to a better balance. A good balance in supply and demand means a healthy market for both buyers and sellers. We still have a ways to go but at least we’re heading in the right direction.

The average sales price has still continued to drop across the county. Overall we are back to 2005 to 2006 prices. Of course each subdivision will fluctuate from that average. With positive market signs like two consecutive years of increases in buyer activity and inventory beginning to come down we are expecting to see prices begin to stabilize this year. If prices do stabilize, that will be a good indicator we’ve reached the bottom of the market or are at least skipping along the bottom. Skipping along the bottom of the market may be a reality for some time before we start to see a true recovery begin. The timing of the recovery will depend on the interaction between sellers and buyers. If sellers get to anxious and start pushing for a higher price before the market is ready it could slow things as buyers will show their reluctance to pay more than the last sale.

2011 was a good year for Summit County real estate. 2012 has the potential to keep building on the momentum we saw in 2011 and leave a significant mark in the history books if it is in fact the year prices start recovering in Summit County. When buying or selling real estate in Summit County make sure you choose the right agent to help you achieve your goals.