The April 2021 numbers are in for the Louisville real estate market and today we’re comparing them to what we saw in April 2020.
The word for today is “double” as in, our numbers for April 2020 were about double what we are seeing in April 2021, especially in terms of active listings, absorption rate, average days on market, and the average sales price. This is fantastic news.
In April 2020, we had a little over 3,000 active listings. This April, we had around 1,500. The absorption rate, or the time it would take to sell all the available inventory, was about two months last year. This year, it’s right around one month.
The average days on market in April 2020 was around 40. This year, that number has dropped to 20. It’s crazy how fast these homes are selling. The average sale price has gone up significantly over the past few years as well, but it hasn’t quite doubled. Back in 2019, the average was $236,000 and this year it’s up to $260,000. Even though the average sale price didn’t go up to $472,000, a $30,000 climb over two years is unheard of.
There is good news for buyers as well. The interest rates for FHA mortgages are right around 2.75% and the conventional rate is around 2.8% to 3%.
The bottom line is that inventory is at an all-time low and this is the hottest seller’s market we’ve ever seen. At the same time, it’s actually a great time to buy because of the rates. There are tons of options out there for buyers in terms of down payment options, rates, and more.
I’ll leave you with today’s quote, which comes from Bill Keane: “Yesterday is history, tomorrow is a mystery. Today is a gift from God, which is why we call it the present.”
If you have any questions about buying a home, selling a home, or the Louisville real estate market in general, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.