Interested in how the new construction market is performing? In this post, we analyze trends observed over the past 12 months and the last full month to give you a clear picture of market dynamics. Here’s what we’ll cover:
- Market speed for new construction homes in Tri-Cities
- Changes in days on market and listing prices
- Trends in price per square foot
- What buyers and sellers can expect in the coming months
Market Speed Trends
Over the past 12 months, new construction listings averaged 2.5 listings per day. In the last full month, this slowed slightly to 1.81 listings per day, potentially indicating a seasonal trend or lower inventory levels.
Days on Market (DOM)
The average days on market for new construction homes saw a dramatic improvement, decreasing from 129 days over the past 12 months to 31 days in the last full month. This significant reduction suggests faster sales and increased buyer interest in new construction properties.
Price Trends
| Time Period | Average Listing Price | Average Sold Price | Sold-to-Listing Price Ratio |
|---|---|---|---|
| Past 12 Months | $573,983 | $550,206 | 95.9% |
| Last Full Month | $656,691 | $568,922 | 86.6% |
While the average listing price increased from $573,983 to $656,691, the sold-to-listing price ratio dropped from 95.9% to 86.6%, indicating more price negotiations in recent sales.
Price Per Square Foot
New construction homes continue to command a premium, with the average price per square foot increasing from $280.43 to $287.72 over the past month.
Home Size
The average size of new construction homes increased slightly from 1,987 sq. ft. over the past 12 months to 2,040 sq. ft. in the last full month, suggesting that larger homes are being listed and sold recently.
Buyer and Seller Score Trends
| Time Period | Buyer Score | Seller Score |
|---|---|---|
| Past 12 Months | 6.0 | 4.0 |
| Last Full Month | 2.7 | 7.3 |
The seller score increased significantly from 4.0 to 7.3, indicating stronger seller conditions, while the buyer score decreased from 6.0 to 2.7, reflecting reduced buyer leverage.
Conclusions
- New construction homes are selling faster, with a significant drop in days on market.
- Despite higher listing prices, increased negotiation is evident with lower sold-to-listing price ratios.
- Buyers are still paying a premium per square foot, but they may find opportunities for negotiation.
- Larger homes are being listed and sold, indicating potential changes in buyer preferences.
If you’re interested in buying or selling a new construction home, we’re here to help. Contact us at ryan@kenmoreteam.com or call 509.987.4544 for expert guidance in today’s market.