Monday, August 8, 2022 / by Bryan Baylon
Note that the red line (monthly average sales price per sq. ft.) was 1.26% HIGHER than the monthly average list price per sq. ft. for closed listings on June 7. This has plummeted to 1.48% BELOW list on August 8. Although average sales prices have declined substantially since the beginning of July, the average $/SF for listings under contract (the green line) has not. We are just starting to see the green line display a little weakness, but at the same time the red line and brown line are showing a corresponding resistance to gravity.
The gap between the green and brown lines is much wider than normal, so we would expect this gap to narrow in the coming weeks. Either the green line should fall or the brown line should rise, or maybe a bit of both. This market is certainly not boring.
Market insights provides by the Cromford Report.