While real estate in other parts of the valley seemed to take a breather in the 3rd quarter 2018 this certainly did not seem to be the case in Daybreak. Judging by the stats the third quarter seemed to be very strong with all major indicators heading the right direction. The median sales price for a home in Daybreak rose 9.97% to stand at $360,291. All this was on the back of a surge in home sales which increased over 26% with 190 homes sold in the quarter. Days on market also declined 3 days to stand at 25 Days.
Median Sales Price: $360,291 up 9.97%
Total Sales: 190 up 26.67%
Median Days on Market: 25 down 10.71%%
On the surface the median sales price of $407,694 for a single-family home seemed pretty good, after all it was 7.09% up on the same quarter last year. But if we look at the prices over the last 2 quarters ($410,169 Q2, $414,450 Q1) we can see that the price appreciation seems to have stalled. The total number of sales was up sharply with 113 homes sold, up 13%. The time taken to sell a home was also positive, with a 22.22% decline to 21 days.
Median Sales Price: $407,694 up 7.09%
Total Sales: 113 up 13%
Days on Market: 21 down 22.22%
Townhomes saw a strong surge in the number of sales climbing 37.21% with 59 sales, but prices were only marginally higher, climbing 3.15% to $270,000. The surge in sales was partly due to the flood of new listings from home builders, who because of the rising home prices are having to provide more affordable housing options.
Median Sales Price: $270,000 up 3.15%
Total Sales: 59 up 37.21%
Days on Market: 26 down 7.14%
The Daybreak Condo market seemed to be the best performing sector in the 3rd quarter, but given the low number of sales in a quarter, the median sales price is prone to large fluctuations. The median sales price increased 18.67% on the back of strong sales which more than doubled over the same time last year. Condos also sold faster, taken a median of 33 days to go under contract, over 50% faster.
Median Sales Price: $196,050 up 18.67%
Total Sales: 14 up 133.33%
Days on Market: 33 down 52.17%
While the headline home sales data was very encouraging at first glance, when you look closer there are signs that home prices are showing signs of stalling for single-family homes. Rising interest rates mean that people have to pay more money for the same sized home, which may well be limiting any price appreciation. It also means that builders are having to provide smaller more affordable homes which explains the increase in new construction townhomes being built. This is especially true is Daybreak’s Highland Park Village whose focus is definitely on smaller more affordable home options.