April 2017 Market Report

Area 100, Greater Reno/Sparks
“As we head into May, June and July which are historically our peak listing months, we are
optimistic that the pace of new listings will increase,” said John Graham, 2017 RSAR President.
“The Reno market remains a seller’s market and we anticipate that lasting through the end of the
year.”
• The April median price at $323,695 was up 2% from March and up 10% from a year ago.
• April unit sales at 508 are down 8% from March and down 11% compared to April 2016.
• April new listings are up 5% at 708 compared to March and down 21% from one year
ago.
• The Reno market is a seller’s market, at 1.9 months supply of inventory. Months supply
of inventory is the time it would take to exhaust the active inventory at the current rate of
sales. Effective in March 2017, the Reno/Sparks Association of REALTORS changed
its method of calculating Months Supply of Inventory to exclude pending sales. We
believe this more accurately reflects the Months Supply of Inventory.
Conclusions
• New listings during the months of January through April 2017 totaled 2,087. During the
same period in 2016, new listings totaled 2,738, a 31% decline.
• In comparison, sales for the first four months of 2017 totaled 1,511. In 2016, it totaled
1,901. While sales are only down 5%, new listing inventory is down 31%. We are
clearly not filling the demand for new listings as quickly as it is being absorbed.
• Historically, the peak listing months are May, June and July. We are cautiously
optimistic that the pace of new listings will pick up as the weather warms.
• Due to the following economic factors, sales prices are not anticipated to decline in the
foreseeable future: (1) a population of homeowners who are taking advantage of their
existing low interest rates and consequently are not moving up or downsizing; (2) high
construction costs in the form labor and lumber; and (3) tighter lending requirements.
• Prospective homebuyers should consult with a reputable lender and get pre-qualified.
There are some excellent first-time homebuyer programs that offer assistance with down
payments and closing costs. Knowing that home prices are not likely to go down anytime
soon. For qualified homebuyers, now is not the time to be on the fence.
• Properties are remaining on the market an average of 99 days up 7% from April 2016.
• Sellers are receiving an average of 98.8% of list price up less than 1% from April 2016.