Here is your Locust Grove housing market report for August! We definitely are seeing the seller’s market cool as the days on the market have increased from last month!
The number of homes on the market is increasing from the low inventory of earlier this year. We can attribute this to an increase in interest rates and inflation. As Joel Kan notes, “Purchase applications have declined in eight of the last nine weeks, as demand continues to shrink due to higher rates and a weaker economic outlook.” (Lane, 2022). While the average price of homes for sale in Locust Grove looks drastically higher than the homes that are under contract or sold, please note that there are four properties on the market with asking prices over a million dollars; this skews the average to a higher price point.
Housing prices may start to settle as well. There have been 27 price reductions this month meaning that sellers felt the need to lower their asking price in order to prompt buyers to make an offer on their homes. That is an increase of 107% over the last thirty days.
This slowing of the market may bring back buyers who were frustrated during the buying frenzy earlier this year and decided to wait it out. When the buyers do decide to reenter the market, there will be an inventory of homes for them to consider.
