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REAL ESTATE MARKET REPORT

LINCOLN

Su M M TT W W Th F Sa S T F S

June

2011

1

2

3

14

8 5

9 6

10 11 12 13 14 7 8 9 10 11

15 12 22 19 29

16 13 23 20 30

17 14 24 21 31

18 15 25 22 32

25

19 16 26 23 33

6 3

20 17 27 24 34

74

21 18 28 25 35

26 27 28 29 30 36 37 38 39 40 41 42

TABLE OF CONTENTS Market Dashboard…………………………….. Pages 1-2 Number For Sale vs. Under Contract Number Sold vs. Expired Days On Market (Sold vs. Expired) Sold Listings - Prices (Last 6 Months) Sold Listings - Days On Market (Last 6 Months) Market Summary Table……………………… ..

Page 3

Glossary…………………….…………………..

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REAL ESTATE MARKET REPORT

LINCOLN Wednesday June 1st, 2011

Let’s take a look

at the real estate market. Currently there are 503 sales pending in the market overall, leaving 1,462 listings still for sale. The resulting pending ratio is 25.6% (503 divided by 1,965). So you might be asking yourself, that’s great… but what exactly does it mean? I’m glad you asked!

Contracts Pending

Typically, a pending ratio indicates the supply and demand of the market. Specifically, a high ratio means that listings are in demand and quickly going to contract. Alternatively, a low ratio means there are not enough qualified buyers for the existing supply. “The current inventory can best be described as mildly active.”

Taking a closer look, we notice that the $125K - $150K price range has a relatively large number of contracts pending sale. We also notice that the $100K $125K price range has a relatively large inventory of properties for sale at 225 listings. The average list price (or asking price) for all properties in this market is $198,341.

Number of Listings For Sale vs. Under Contract Lincoln

For Sale

12 65 0 2 2 10 40 1 17 25 0 150 100 125 80 100 60 75

40 50 2 0 25 0

Sold Expired

Number of Sold vs Expired (Last 6 Mos.) Lincoln

10 6 20 5 2 24 0 70 5 1 15 70 5 2 1 150 05 0 12 125 80 10 100 65 0 7 75 40 5 50 0 2 25 5

A total of 1,157 contracts have closed in the last 6 months with an average sold price of $151,286. Breaking it down, we notice that the $125K - $150K price range contains the highest number of sold listings. Alternatively, a total of 635 listings have expired in that same period of time. Listings may expire for many reasons such as being priced too high, having been adequately marketed, the property was in poor condition, or perhaps the owner had second thoughts about selling at this particular time. The $100K - $125K price range has the highest number of expired listings at 112 properties.

0

1

Market Dashboard


REAL ESTATE MARKET REPORT

LINCOLN Wednesday June 1st, 2011 Looking at the chart to the right, you might be wondering why average days on market (DOM) is important. This is a useful measurement because it can help us to determine whether we are in a buyer’s market (indicated by high DOM), or a seller’s market (indicated by low DOM). Active listings, or properties for sale, have been on the market for an average of 85 days.

Sold Active

Analysis of sold properties for the last 6 months reveals an average sold price of $151,286 and 78 days on market. Notice that properties in the $225K $250K price range have sold quickest over the last six months.

20 20

The recent history of sales can be seen in the two charts below. The average sold price for the last 30 days was $148,595 with an average DOM of 74 days. Since the recent DOM is less than the average DOM for the last 6 months, it is a positive indicator for demand. It is always important to realize that the real estate market can fluctuate due to many factors, including shifting interest rates, the economy, or seasonal changes.

Average Days On Market (DOM) Lincoln

160 160 140 140 120 120 100 100 80 80 60 60 40 40

00

“The average list-to-sales ratio for this area is 96.2%.” Ratios are simple ways to express the difference between two values such as list price and sold price. In our case, we typically use the list-tosale ratio to determine the percentage of the final list price that the buyer ultimately paid. It is a very common method to help buyers decide how much to offer on a property.

Analysis of the absorption rate indicates an inventory of 7.6 months based on the last 6 months of sales. This estimate is often used to determine how long it would take to sell off the current inventory of listings if all conditions remained the same. It is significant to mention that this estimate does not take into consideration any additional properties that will come on the market in the future.

Continue to Market Summary Table… Average Sold Prices Lincoln

Average Days On Market (Sold) Lincoln

$170K 170000

95 95 75 90 90 70 85 85 80 80 65 75 75 60 70 70 65 65 55 60 60 55 55 50

$160K 160000 $150K 150000 $140K 140000

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Market Dashboard


REAL ESTATE MARKET REPORT

LINCOLN Wednesday June 1st, 2011 Contracts Pending

Expired Listings (Last 6 Months)* Absorption Rate Properties Sold (Last 6 Months)*

Properties For Sale Price Range Min.

Max.

Total Num

Avg DOM

Avg List Price

Total Num

Pending Ratio

Total Num

Total Num

Avg DOM

Avg List Price

Avg Sold Price

List to Sales

No. of Mos

$75,000

$99,999

190

88

$87,777

56

22.8%

111

147

78

$94,314

$88,970

94.3%

7.8

$100,000

$124,999

225

78

$114,115

84

27.2%

112

208

75

$117,322

$113,336

96.6%

6.5

$125,000

$149,999

224

69

$136,765

103

31.5%

102

223

80

$139,986

$136,523

97.5%

6.0

$150,000

$174,999

130

82

$163,566

43

24.9%

66

119

69

$165,056

$160,326

97.1%

6.6

$175,000

$199,999

118

106

$187,967

43

26.7%

40

74

81

$191,827

$185,524

96.7%

9.6

$200,000

$224,999

83

67

$213,459

24

22.4%

19

70

90

$217,255

$211,498

97.4%

7.1

$225,000

$249,999

61

64

$236,961

23

27.4%

19

32

51

$243,994

$237,189

97.2%

11.4

$250,000

$274,999

28

68

$263,498

20

41.7%

11

26

53

$267,416

$261,169

97.7%

6.5

$275,000

$299,999

55

69

$289,173

18

24.7%

23

37

87

$303,568

$286,557

94.4%

8.9

$300,000

$324,999

29

60

$312,891

18

38.3%

14

17

60

$319,432

$311,235

97.4%

10.2

$325,000

$349,999

40

88

$339,659

8

16.7%

10

13

107

$345,000

$333,421

96.6%

18.5

$350,000

$374,999

31

127

$364,348

3

8.8%

6

10

106

$370,387

$359,394

97.0%

18.6

$375,000

$399,999

23

131

$391,379

10

30.3%

10

7

109

$390,248

$382,703

98.1%

19.7

$400,000

$424,999

11

100

$413,857

1

8.3%

3

5

65

$419,450

$405,104

96.6%

13.2

$425,000

$449,999

12

80

$438,371

3

20.0%

7

6

97

$454,717

$439,072

96.6%

12.0

$450,000

MAX

89

121

$658,894

12

11.9%

28

13

127

$583,115

$546,750

93.8%

41.1

Market Summary>>

1,462

85

$198,341

503

25.6%

635

1,157

78

$157,219

$151,286

96.2%

7.6

4 Weeks Prior>>

1,401

89

$196,691

499

26.3%

667

1,039

77

$158,509

$152,732

96.4%

8.1

Data believed to be accurate but not guaranteed.

Dates: 11/01/2010 - 5/01/2011

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Market Summary Table


REAL ESTATE MARKET REPORT

LINCOLN Wednesday June 1st, 2011 1. PROPERTIES FOR SALE a. Number Active: The number of listings for sale which are currently being marketed but do not yet have a purchase agreement. b. Average Days On Market (DOM): The average marketing period of currently active listings. This does not account for some listings which have had a previous listing period, but were re-entered as a new listing. c. Average List Price: The average price that a seller is currently asking. 2. CONTRACTS PENDING a. Number Pending: The number of current listings for which a contract has been signed but has not yet closed. b. Pending Ratio: Sometimes called a “list to pending ratio�. This is a measure of how fast properties are going under contract vs. how fast they are being listed. P(Number of Pending Listings) Pending Ratio= A+P(Number of Active + Pending) (P) represents properties that buyers have chosen (A+P) represents the entire pool from which they have chosen 3. EXPIRED LISTINGS a. Number Expired: The number of listing agreements that have expired in the last 6 months. Some owners may choose to re-offer their property for sale. 4. PROPERTIES SOLD a. Number Sold: The number of properties that have gone to a closing in the last 6 months. b. Average Days On Market (DOM): The average marketing time it has taken to sell in the last 6 months. c. Average Original List Price: The average price at which a sold property was originally marketed. d. Average List Price: The average price at which a sold property was marketed just prior to selling. e. Average Sold Price: The average price for which a property sold. f. List to Sales Ratio: The percentage of the list price that the buyer ultimately paid for the property. List to Sales Ratio=

Average Sold Price Average List Price

5. OTHER a. Absorption Rate/Months of Inventory: An estimate of how fast listings are currently selling measured in months. For example, if 100 properties sell per month and there are 800 properties for sale - there is an 8 month supply of inventory before counting the additional properties that will come on the market.

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Glossary

Lincoln, NE Real Estate Market Report  

Real Estate Market Report for Lincoln, NE as of June 1, 2011.

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