If you’re a home owner in Johnson County, Kansas, or planning to become one, I’m going to be sharing an update on the latest real estate market trends from May 2023. Make sure you stick around to the end of this video where I share some options based on what’s coming with our local Johnson County real estate market and what the experts are saying about mortgage interest rate predictions.
1.5 Months of Supply
Overall, in May, there was 1.5 months of supply available in Johnson County. This is exactly the same from last month and keeps things firmly in a sellers market. Months of supply tells us how long it would take for all the homes currently on the market to sell given the average sales volume. What did change was the number of closed sales. Closed sales jumped from 643 to 922 homes, a 30% increase. Some of that is accounted for in pending sales from April. The number of pending sales did go down some in May. But otherwise, it appears more came on the market and closed in May over April.
Average Price $534,006
The average price for a home in Johnson County, Kansas is $534,006. That average price is just barely up from last month with a . 9% increase. Home prices are still up 8.5% from last year. Rising home prices are not going anywhere and buyers are comfortable with interest rates. About this time last year interest rates started to increase so a year-over-year comparison for the next several months will be interesting.
List-to-Sale Ratio 103.7%
Moving along, the average list-to-sale ratio was 103.7% in May. This means that properties were selling for 103.7% of the list price. So, we’re still seeing offers come in over list price and usually with multiple offers in those scenarios. That’s just slightly up from 103.5% last month but down from a whopping 106.8% last year. These numbers are consistent across the Johnson County area in all markets except just a couple, such as homes listed over $1.5 Million in the Prairie Village, Mission Hills and West Joco areas.
33 DOM
You might be wondering how long it’s taking properties to sell? On average, in May in Johnson County, it’s taking 33 days on market to sell. That is trending slightly up from 28 days last month but basically the same. So, just know that if you’re planning to list your home on the market, you can expect much the same. If you are priced strategically, you should get a quick offer if not more than one.
This home was on the market 5 days in Stilwell, KS, was listed at $400,000 with 3 bedrooms, 1.5 bathrooms and on the national historic registry. View more details here.
Mortgage Rates 6.29% to 6.9%
If you’re thinking about buying real estate in the near future, mortgage rates are ranging between 6.29% to 6.9%, depending on the loan terms and whether you’re going with a conventional loan, VA or VHA loan. According to all experts, we should see 5.5% by the end of the year…hopefully. And, that brings me to our options right now.
If you are considering buying or selling real estate in the near future, you have two options. And, it doesn’t matter which you choose but it’s good to know them. Number one, you can wait for interest rates to go down. It’s never a guarantee but those experts know more than I do! They do also say that if or when interest rates drop to 5.5%, many more buyers are going to get back in the market. This is cause many more multiple offers and drive up the home price again. Or, option two, move forward with the current interest rate, with some competition but nearly as many with a lower rate and refinance down the road. Take advantage of a lender that’s offering incentives down the road for refinancing with no origination fees, etc. Either way, home values in Johnson County are consistently rising month-over-month so be aware of this for future shopping.
The bottom line is, whether you’re buying, selling or staying put, your situation is unique and a general market update should be taken with a grain of salt. If you want a more accurate analysis of your home or the market you’re hoping to move to, or you simply want to chat about your options, you can either request a free, no obligation market valuation or book a call with me to have a no-pressure conversation. I’m happy to chat so that you’re informed to make the best decision that’s right for you based on your personal situation. Meanwhile, check out my other videos and I’ll be back next month with an updated Johnson County market report.
Cheers,
Reece Nichols
(c) 913-948-3918 | (o) 913-323-7222
heather@heatherbsellskc.com
