Annapolis Maryland Luxury Real Estate

For the fourth month in a row, inventory levels were above the 4,500 level. In July the number of active units in Anne Arundel County trended down 0.6% but was up 9.1% from last year. The average sold price dropped below $400,000 and was down 8.5% from last year. The pending transaction to active listings ratio was 9.8% - about the same as last month but down 30.8% from last year. So, how much worse will it get? Well, that's anyone's guess.

In Anne Arundel County in July the total sold volume was down 20.0% from June. The average sold price in July was down 7.1% from June. The number of homes sold in July was down 13.8% from June.  And, the average days on market in July was unchanged from June.

There were 411 units sold in Anne Arundel County in July, up from 411 units sold in June. The number of active listings was 4,699 in July, down from 4,729 in June. The number of new listings taken in July was 959, down from 993 in June. The number of listings with pending contracts in July was 462, up slightly from 452 in June. The average sold price was $397,081 in July, down from $427,655 in June. The average number of days on market was 125 in July, unchanged from June. The average list price to sold price ratio was 90.86% in July, up slightly from 90.46% in June. Total sales volume for July was $163.2 million in July, down from $204.0 million in June.

In Annapolis the total sold volume in July was down 17.1% from June. The average sold price in July was down 16.0% from June. And, the number of homes sold in July was down 1.3% from June. And, the average days on market in July was down7.9% from June.

There were 76 units sold in Annapolis in July, down slight from 77 units sold in June. The number of active listings was 997 in July, up from 967 in June. The number of new listings taken in July was 195, up slight from 190 taken in June. The number of listings with pending contracts in July was 104, down slightly from 125 in June. The average sold price was $527,212 in July, down from $627,710 in June. The average number of days on market was 147 in July, down from 160 in June. The average list price to sold price ratio was 95.10% in July, up slight from 94.37% in June. Total sales volume was $40.1 million in July, down from $48.3 million in June.

So what can we expect for the third quarter of 2008? Inventory will continue to increase. New listings may decline. Pending sales may decline. The ratio of pending sales to active listings may decline and prices may drop further. There's no tipping point on the horizon when sales might improve. What has to happen? While the number of buyers in the market remains relatively constant at any time and they believe that homes are overpriced. Sellers must lower their asking price and do so before their competition. Sellers should take all competition seriously and must price below properties under contract. When the buyers' perception is homes are overpriced, sellers must price their homes to look like a bargain. The lowest price and most favorable terms will result in the fastest sale!

While no one can predict the future with any certainty, one thing is certain; it's a buyer's market. A firm understanding of the market trends and forces is needed to make the best real estate decisions. So, if you are serious about buying or selling a home in today's real estate market, call Stephen Howell, Associate Broker, REALTOR^®, Coldwell Banker Residential Brokerage, at 410-923-3217.