Avon Real Estate Market No Surprise in June, 2010

You can’t lose two-thirds of your pending sales one month and expect everything to be fine the next month. This was partly true for the Avon real estate market in June, 2010. While total pending sales in Avon, Indiana did rebound from the worst 1-month drop in 15 months, total closed sales were down significantly. Starting with total pending sales, there was a 6.5-percent increase versus last month’s total of 31. Compared last June’s total of 59, however, pending sales were down 44.1 percent. The bad news: There was a 37.5-percent drop in total closed sales as 27 fewer homes sold in June compared to May. Relative to June of 2009 the difference was also -37.5 percent. Not helping matters, at least from a seller’s standpoint, was a 1.5-percent increase in the number of listings, with 410 Avon homes for sale in June versus 404 the previous month. Compared to last June’s total of 330 listings this was an increase of 24.2 percent.

Calculated at 11 percent the absorption rate based on closed sales was nearly half that of June, 2009. It was also down significantly from the previous month, when it measured 17.8 percent. The most recent 12-month average is 12.7 percent.

The absorption rate based on pending sales rose 0.3 percent versus last month, finishing at 8 percent. Over the past 15 months this figure has topped 21 percent just twice, in April of 2009 and in April of 2010. The most recent 12-month average is 12.6 percent.

Some other pertinent facts:

  • Avon homes spent an average of 71 days on market in June; down nearly 22 percent from the previous month’s average of 91 days and also down 16.4 percent from the 12-month average of 85 days.
  • The sold-list differential in 3 out of the past 5 months has averaged 97 percent. In June, it was exactly equal to the 12-month average of 96 percent. This statistical measure has actually been fairly consistent over the past 12-months; the only anomaly occurring in January of 2010 when homes sold, on average, for 91 percent of list price.
  • The average price per square foot remained unchanged from that of the previous month at $72.
  • The average ‘sold’ price of $159,000 was 11.1 percent below the previous month’s average of $179,000. The 12-month average for this metric is $168,000.
  • The average active price was $218,000.
  • The median price was $149,000.