Home Sales Success Hits Two Year High February 22, 2010
Home Sales Success Rates Improving
The Home Sales Success Rate is one real estate market measurement that we have been maintaining at The Market Bulletin for several years now. Currently, the one-year trend is at a two-year high!
By dividing the total number of closed homesales by the total number of new listings, over a specific time period, we can show a pattern that gives a hint at how many homes (as a percentage of the total) are actually selling. We refer to this as the Home Sales Success Rate.
We are more curious about the direction of this trend as opposed to its absolute value because we know it does not track the history of homes being sold against their specific listings. Ultimately, this directional tendency lets us know whether it is getting easier or harder to sell a home in Tallahassee.
Home Sales Success Rates Still Too Low
The graph below shows:
- 1 Year Trend: 46% of homes are selling
- 9 Month Trend: 52% of homes are selling.
- 6 Month Trend: 51% of homes are selling.
- 3 Month Trend: 50% of homes are selling.
So, in simplified terms, we can say that over the past year, only 46% of the homes that were listed in Tallahassee actually sold. Lately we have seen some improvement in the one-year trend, but all the shorter tendencies are currently falling so we must keep an eye on their progress.