The most recent numbers are in from the Home Builders Association of Louisville. New Louisville homes are down approximately 30 percent from this time last year. The Home Builders Association of Louisville has even gone so far as to recommend to its members to delay additional new Louisville homes that they may be planning until some of the properties that are currently on the market are sold.
There remains a tremendous amount of inventory on the market currently. For the metropolitan Louisville real estate market, inventory is currently sitting at approximately 9-10 months. (What that means is, if no new homes came on the market, the properties currently on the market, and demand for purchasing a Louisville home remained steady, those homes would expect to sell in approximately 9-10 months.)
Some areas within the metropolitan Louisville real estate market have dramatically much higher inventory. One example, would be the Shelbyville KY homes for sale currently on the market. At the current rate of demand, there is almost 2 years worth of inventory. [Which incidentally - is primarily due to inflated pricing for Shelbyville KY real estate. The homes that are priced appropriately are moving, but a tremendous amount of properties in Shelby County are, to be blunt, delusional (or ignorant) in their pricing valuations for today's market conditions and demand for homes in Shelby County KY. These elevated prices have many homes just sitting on the market........waiting.....and waiting.....and waiting.] Additional pressures and concerns for rising fuel prices also are making many persons wanting to live closer to their work and the larger metropolitan areas, rather than further away in the country.
As expected though for the Louisville real estate market – it continues to show its resiliency relative to the national overall perspective, the median price for homes in the metropolitan area were actually up from a year ago.
From our own perspective, it appears the most active markets are the 2 extremes: Those properties under $150,000, and those properties in the $1.2 – $2 million range seem to be the most in demand presently. Many homes in the several hundred thousand range, are seeing little activity with most persons seemingly waiting for what they perceive to be the “bottom” of the real estate market. [Here's a hint everyone: prices were UP, not down - for January & February 2008, despite the excess inventory. That would indicate that you've already missed the bottom end of the Louisville KY real estate market - and you should be pulling the trigger now.]
New Louisville Homes Starts Decline
There remains a tremendous amount of inventory on the market currently. For the metropolitan Louisville real estate market, inventory is currently sitting at approximately 9-10 months. (What that means is, if no new homes came on the market, the properties currently on the market, and demand for purchasing a Louisville home remained steady, those homes would expect to sell in approximately 9-10 months.)
Some areas within the metropolitan Louisville real estate market have dramatically much higher inventory. One example, would be the Shelbyville KY homes for sale currently on the market. At the current rate of demand, there is almost 2 years worth of inventory. [Which incidentally - is primarily due to inflated pricing for Shelbyville KY real estate. The homes that are priced appropriately are moving, but a tremendous amount of properties in Shelby County are, to be blunt, delusional (or ignorant) in their pricing valuations for today's market conditions and demand for homes in Shelby County KY. These elevated prices have many homes just sitting on the market........waiting.....and waiting.....and waiting.] Additional pressures and concerns for rising fuel prices also are making many persons wanting to live closer to their work and the larger metropolitan areas, rather than further away in the country.
As expected though for the Louisville real estate market – it continues to show its resiliency relative to the national overall perspective, the median price for homes in the metropolitan area were actually up from a year ago.
From our own perspective, it appears the most active markets are the 2 extremes: Those properties under $150,000, and those properties in the $1.2 – $2 million range seem to be the most in demand presently. Many homes in the several hundred thousand range, are seeing little activity with most persons seemingly waiting for what they perceive to be the “bottom” of the real estate market. [Here's a hint everyone: prices were UP, not down - for January & February 2008, despite the excess inventory. That would indicate that you've already missed the bottom end of the Louisville KY real estate market - and you should be pulling the trigger now.]