New home listings fall as pending sales jump
Sept. 10, 2020
Here’s a sign of what’s happening in the Sioux Falls real estate market: The average home seller received full asking price, if not a bit more.
For the first time since SiouxFalls.Business has been reporting monthly real estate data, the percentage of original list price received was greater than 100 percent – at 100.3 percent for the month – indicating numerous multiple-offer situations.
Pending sales in the metro area jumped 20 percent in August while new listings fell 17 percent.
That caused the city to end August with a 2.6-month supply of homes on the market, among the lowest ever.
The average house spent 72 days on the market before selling, one day fewer than the same time last year, according to the Realtor Association of the Sioux Empire Inc.
The average price of a home sold in Sioux Falls last month was $270,233, on par with last year. The median price, though, jumped 8 percent to $241,750.
The bidding market continues to be competitive, according to an analysis included with the monthly real estate report.
“With the stock indexes at or near record highs as mortgage rates remain near record lows, signs point to a busy fall housing market,” it said.
“As we look towards the fall, we normally see housing activity begin to slow a bit as the back-to-school season begins, but this year is far from normal. While uncertainty remains on what effects the upcoming elections and any seasonal resurgence of COVID-19 may have on the financial and housing markets, the healthy housing demand we see today will create significant tailwinds in the near term.”
For the 12-month period spanning September 2019 through August 2020, pending sales in the Sioux Falls region were up 17 percent overall.
The price range with the largest gain in sales was the $450,000 to $500,000 range, with a 79 percent increase.
The price range that tended to sell the quickest over the past year was the $150,000 to $200,000 range at 74 days; the price range that tended to sell the slowest was the $800,000 to $900,000 range at 139 days.
