Happy Thanksgiving! Before we gobble down, I thought I would dish up stats on sub-segments on the Northwoods real estate market. People are always amazed at how low the percentage of homes sold is compared to the number of listings taken. In a nation of housing shortages, we still only sell about 40% of what is listed. Yes, you read that correct. When I break it down you really see the differences. The blue bar represents properties listed. The orange bar represents properties sold. The value above the bar is the Sold/Listed %.
Why are only 40% of properties listed selling? There are many theories but the one that I prefer is that we are one of the few markets nationally that is based mostly on discretionary spending. In most markets housing is a requirement (see Maslowe’s Hierarchy of Needs). In this market, it is a luxury. What we sell here are second homes. People do not have to have a second home. Likewise, most sellers do not have to sell. So, we have buyers not having to buy homes from sellers who do not have to sell. Indeed, a unique market!
Winter has come early to the Northwoods. The lakes are iced up and snow is on the ground. That is not common for Thanksgiving but I do not think Mother Nature consults a calendar. Have a terrific Thanksgiving and be thankful for all that you have!