Collin County Real Estate has seen only a 1% decline in the median sales price of single family homes over the last three years ending in the fourth quarter of 2009. Compared to many of the “bubble” real estate markets in other parts of the United States, the resilience of single family home prices in Collin County is significant. Home values in Collin County remain stable and also within the affordability range of most residents of Collin County.
Median Home Price of single family homes in Collin County – Fourth Quarter of 2006 – $195,000
Median Home Price of single family homes in Collin County – Fourth Quarter of 2009 – $193,000
Percent change in the median home price of single family homes in Collin County was roughly -1%, or a decline of $2,000.
Here’s a chart of median home sales prices for single family homes in Collin County from the fourth quarter of 2006 to the fourth quarter of 2009:
And here’s a chart of the median home sales price of single family homes in Collin County compared to the median list price of homes for the fourth quarter of 2006 through the fourth quarter of 2009. The increase in variance is likely the result of weakness in the higher priced home ranges where financing options have decreased the most. There is a significant market of homes priced above the Fannie Mae loan limit of $417,000, which means the financing options for those homes are more limited than they were in the past, which may make it more difficult for some buyers to obtain financing. This factor can lead to a higher decline in values for homes priced above this tier. And while guidelines for loans such as Fannie Mae and FHA have also tightened somewhat, rates for these loans have been kept low at least in part because of direct government intervention.
The median home sale price in the fourth quarter of 2006 was $219,500 compared to a median list price of $236,000.
The median home sales price in the fourth quarter of 2009 was $195,000 compared to a median list price of $193,000.
So while the median home sales price only declined by $2,000, the median list price increased by over $16,000.
DAYS ON MARKET FOR SINGLE FAMILY HOMES IN COLLIN COUNTY
The days on market for single family homes in Collin County has stayed exactly the same in the fourth quarter of 2006 compared to the fourth quarter of 2009, although it has certainly seen increases and decreases. The market has been remarkably stable for the last three quarters of 2009.
This chart clearly shows that the Collin County market has remained quite resilient throughout the economic downturn. Although this is an average, it is certainly a good representative of what to expect overall.
SUPPLY AND DEMAND OF SINGLE FAMILY HOMES IN COLLIN COUNTY FROM Q4 2006 to Q4 2009
The supply and demand of homes in Collin County, which is the number of active listings compared to the number of actual sales, has shown the gap between the median sales price versus the median sold price has closed considerably.
The number of for sale properties dropped by 31% while the number of sold properties only dropped by 21%. This means the supply of homes for sale is dropping faster than the demand for homes, and this has been a rather steady trend.
This is a good overall sign for single family home sales in Collin County. The drop in supply is likely due to many buyers not having enough equity to sell their homes.
NUMBER OF EXPIRED SINGLE FAMILY HOME LISTINGS IN COLLIN COUNTY
The number of expired single family home listings in Collin County has declined significantly from the fourth quarter of 2006 to the fourth quarter of 2009. Expired listings reached a peak of over 3000 in the third quarter of 2007 and have declined steadily since then, with a total number of expired listings in the fourth quarter 2009 of less than 1800.
Expired listings occur when the listing agreement between the listing broker and the seller expires. There is no predetermined date on listing agreements so it is impossible to know how long the average term was on these. But the decline is certainly good news.
NUMBER OF SINGLE FAMILY HOMES FOR SALE IN COLLIN COUNTY
The number of single family homes for sale in Collin County, otherwise known as active listings, has declined significantly from the fourth quarter of 2006 to the fourth quarter of 2009. This is likely the result of fewer homeowners having enough equity to sell their homes, and/or fewer homeowners qualifying for additional mortgages.
This decline effectively means the supply of homes for sale in Collin County has decreased significantly. But so has the pool of qualified buyers.
NEW SINGLE FAMILY HOME LISTINGS IN COLLIN COUNTY
New single family home listings in Collin County have also dropped by an amount almost equal to the number of units for sale, which makes sense. The number of new home listings dropped by a total of 33% in the fourth quarter of 2009 compared to the fourth quarter of 2006.
NUMBER OF SINGLE FAMILY HOME SALES IN COLLIN COUNTY
The number of single family home sales has also declined in Collin County, although not by the same percentage as the number of homes for sale has declined. This has served to ease the gap between supply and demand, which has helped the market stay stable.
NUMBER OF PENDING SINGLE FAMILY HOME SALES IN COLLIN COUNTY
The number of pending sales, meaning sales that are under contract and out of the option period, have also declined but have remained strong relative to the supply of homes on the market.