The Super Bowl Effect?

The Super Bowl Effect?

Super Bowl Logo

Source: https://en.wikipedia.org/wiki/Super_Bowl_LVI

Voiced by Amazon Polly
Super Bowl Logo

Source: https://en.wikipedia.org/wiki/Super_Bowl_LVI

Looking at data and trends are essential tools in real estate.  Data for February reflects either a slowing market, too much snow, and ice, or “the Super Bowl” effect.

The chart below covers closings in January and February 2022 for single-family homes in the MLS.  The numbers are all over the place but the last 2 columns indicate the days on market are climbing.  Homes are selling but maybe not with 2 hours of listing.

graph showing single-family home sales, sale price and days on market

Absorption Rate

The Absorption Rate compares the number of single-family homes hitting the market to the number of sales.  It helps Realtors® calculate how long it might take for a property listed today to sell. Absorption Rate is the avg number of sales per month divided by the total number of available properties.

A short timeframe to sell equates to a seller’s market.  And as any buyer out there will tell you- we’ve had a seller’s market since 2020.

The chart below tracks Absorption Rate for single-family homes from May 2019 to the end of February 2022.  The number of properties sold in February 2022 was 731, down -45.69% from 1,346 from the previous month and -47.97% lower than 1,405 from February 2021. The February 2022 sales were at their lowest level compared to February 2021 and 2020. 

Chart of Absorption Rate thru February 2022

March not only marks the end of winter it will also provide Realtors® with better data on which way the wind is blowing. So be prepared for price adjustments both up and down.

Search

Let’s face the facts a few days of ice and the chance to win the Super Bowl were far more important to Cincinnati than buying and selling real estate.