October Sales Data

October was another rough month for sales. Inventories are creeping up and sales volume continues to slow down. The market is definitely in the buyer's camp right now.

Here is our 13 year chart:


The black line is our 12 month moving average. We are still in the midst of sales contraction. My thoughts are that we are now overshooting on the low side of what would be the normal market equilibrium for sales volume on an annualized basis. With winter coming there won't be much improvement with these numbers until springtime. The downward trend of the moving average means there is tremoundous competitive pressure on Realtors in the workforce.

Here is our 3 year chart:


Each consecutive year has seen a decrease in sales volume. I thought that we had hit equilibrium but it looks like we are in store for more contraction in the marketplace. I called the board to find out how many Realtors there were in our area. They indicated rolls of 2276. Fees were due October 31st. I will find out at the end of this month how many are left. My hunch is that there will be a lot less Realtors out there. The last time the marketplace saw this kind of sales volume there were only 1100 Realtors on the board. Wow! The purge is coming.