Today’s Real Estate Market Watch has been expanded to include all of the Octorara Area School District. To date, we have focused on Parkesburg, but with 2013 more than half over, we have expanded this month to the year-to-date statistics of the greater area.
Parkesburg Gazette exclusively provides readers a regular snapshot of the local real estate market and gives you the information needed to be a well informed home buyer or seller. All information in the column is deemed reliable but not guaranteed, and should be verified independently. Valuation calculations based on public records and MLS sources where licensed.
Year-to-date, of 224 Residential Homes Listed since January 2013, there have been 76 Residential Homes Sold in the Octorara Area School District. This is a rate of 33.9% sold.
During the same period, The Borough Of Parkesburg has had 100 Homes Listed, and 31 Homes Sold, or 31% sold.
The County of Chester has had 6462 Residential Homes Listed, with 3700 Homes Sold, or 57.3% sold.
With a rate of only 33.9% sold, the Octorara Area School District Real Estate Market is a significantly slower market than Chester County as a whole.
Average Sale Price
The Average Sale Price for the Octorara Area School District is $191,836. This is lower than the Average Listing Price of $267,170 by $75,334, or a reduction in price of 28.1%.
Within Parkesburg Boro, the Average Sale Price has been $139,555, compared to an Average List Price of $191,073. Year-to-date, Parkesburg’s Average Sale price was $51,318 less than List Price, or 27% lower.
Chester County has an Average List Price of $410,171, and an Average Sale Price of $350,414. The Average Sale Price is $59,757 less, or 14.6% lower than the Average Sale Price.
Octorara Area has an Average Sale Price $158,578 less than Chester County as a whole, or 45.2% lower. Octorara Sellers also have to reduce their original List Price by 92% more than Chester County in order the sell.
Current Contracts & Months of Supply
Currently, there are 130 Residential Homes For Sale in the Octorara Area. Days on Market is 91. There is an average of 11 Homes Sold monthly in the Octorara Area, and 11 months of supply.
Months of supply is calculated by dividing current inventory by current sales. It indicates how many months would be needed to sell all of the inventory available at the current rate of demand.
Within Parkesburg Boro, there are 54 Residential Homes For Sale (representing 41.5% of Octorara’s Real Estate Market). The Boro is averaging 4 Home Sales monthly (36.4% of Octorara Area’s Home Sales), and there is 13 months of supply.
The County of Chester has 2951 Residential Homes For Sale, with 459 Average Monthly Sales. Months of supply in Chester County is 6 months.
Octorara’s inventory is proportionately 83.3% higher than Chester County as a whole. Parkesburg is 116.6% higher. This shows Octorara Area and Parkesburg have many more Homes for Sale than the market can support compared to the county.
Days on Market
The average number of Days on Market for Octorara is 91. Within Parkesburg, the average number of Days on Market is 68. Chester County has an average of 73 Days on Market, year-to-date.
Days on Market represents the current listing only. A listing contract cannot exceed 365 days, by law. Therefore, this statistic does not include a home being listed multiple times, except under certain conditions.
Much of Chester County has moved into a Sellers’ Market. However, Octorara Area School District’s Real Estate Market remains solidly in a Buyers’ Market, a situation in which home supply exceeds buyer demand, giving purchasers an advantage over sellers in price negotiations.
Keep in mind, most of Octorara exists within Chester County, and the county’s statistics are inclusive of much of Octorara. Therefore, where the county’s numbers are lower or higher than Octorara Real Estate, Octorara is affecting those statistics either down or up.
Octorara Real Estate will be attractive mainly to first time buyers. The statistics comparing Average List Price to Average Sale Price indicates Home Sellers will need to price their home competitively and aggressively to be able to compete with other Sellers in the school district and neighboring areas.
Don’t expect Octorara Real Estate to come out of their Buyers’ Market anytime soon. High taxes and rising interest rates will dramatically affect a Buyer’s Payment-To-Income ratio, and can disqualify some buyers with purchasing some properties in this area.
Timothy Alexander is a REALTOR® affiliated with Long & Foster Real Estate, West Chester. As a lifelong resident of Chester County PA, he is an expert in the local area, and brings a wealth of knowledge and expertise about buying and selling real estate here. Additionally, Timothy possesses 10 years of online sales and marketing knowledge and experience. His expertise and extensive experience using technology, software, and Social Media, in a highly competitive business market, exposes your property to the widest range of qualified buyers. Tim prides himself on genuine and dedicated customer service, and represents clients with enthusiasm, vigor and a professional demeanor, striving to exceed his clients expectations when engaged in selling or buying real estate.
If you have a question about Real Estate you would like answered, please submit it to the editor of Parkesburg Gazzette, or contact Tim through his website homesinchecso.com.
The statistics used for analysis came from TREND MLS Market Statistics. This information is deemed reliable but is not guaranteed, and should be verified independently. Additionally, market predictions are based on the current market snapshot. There are unknowable factors, such as possible future changes in government policies, that could dramatically improve or harm the housing market.
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