Home Sales Fell in Most of Philadelphia’s Real Estate Market in November

December 21, 2018

Market Minute Logo 2017 smallHome sales fell in much of greater Philadelphia’s real estate market last month, while median sale prices rose throughout the region, according to Long & Foster’s Market Minute report. Bucks County experienced the only increase in the number of homes sold, rising by 7 percent. The median sale price rose by 10 percent in Bucks County, followed by an 8 percent increase in Delaware County. Inventory continued to fall by double digits region-wide, and days on market averages ranged from 43 days in Philadelphia County to 51 days in Chester County.

The Long & Foster Real Estate Market Minute report for the Philadelphia region includes Bucks, Chester, Delaware, Montgomery and Philadelphia counties.

Philadelphia Market Minute Chart November 2018

“Throughout the country, declining inventory has been the trend for the past 36 months, and the real crunch is at the lower end of the market,” said Gary Scott, president of Long & Foster Real Estate. “In recent months, that steady lack of available homes has brought home sales down with it in many markets, including Philadelphia’s. The bright spot is that interest rates are at a low and there are still opportunities to invest.”

Buyers who have vision and can see a property’s potential can take advantage of those opportunities, Scott said. While most buyers want the move-in ready homes that sell quickly, there are many homes that are sitting on the market much longer, typically because they aren’t updated, he said.

“Buyers may think a new home is the best way to get what they want, but purchasing a property that needs to be updated can allow them to make it their own,” Scott said “Additionally, buyers may not know that renovation loans can enable them to roll the cost of modernizing a home into their mortgage loan. This is why having the advice of a knowledgeable, professional real estate agent, such as those at Long & Foster, is so important.”

Those selling should pay close attention to the sale price of comparable properties nearby as opposed to the price of properties listed for sale, Scott said. A home that’s priced too high is likely to sit on the market, he said. An underpriced property will usually go under contract much faster and receive multiple offers that push the sale price up to its market value.

“A property’s listing price is not the most relevant number – it’s the sale price that tells the real story,” Scott said. “My recommendation is to work with a good real estate professional, do what they advise when preparing your home for the market and trust the pricing they propose.”

To learn more about your local market conditions, visit Long & Foster’s Market Insights. You can also learn more about Long & Foster and find an agent at LongandFoster.com.