April saw closed sales of detached single family homes in postal codes 23185, 23188 and 23168 increase over March for homes in the $250,000 - $900,000 ranges, with homes priced from $250,000 to $450,000 taking the lion's share both months.The most active sector when viewed in increments of $50,000 was the $300,000 - $350,000 range both months.
A general consensus among agents is that March was a very active month in terms of contracts written. As MLS statistics do not distinguish between homes that are "pending" with firm contracts from those that are "pending" with contingent contracts, contracts subject to the sale of other property, loan approval or appraisals, for example, the number of contracts written may not be as reliable a precursor of closings to follow. The period to settle a home purchase typically takes thirty to sixty days. So, some of the March sales appeared in April closings with more likely to follow this month.
At two-thirds the way through May closed transactions in the $250,000 - $900,000 ranges are roughly half those of either March or April. The most active sector for March and April, homes in the $300,000 to $350,000 range are lower in May while homes in the $350,000 - $400,000 range are either tied or slightly above March and April, thus far. One possible explanation is that homes that appealed to buyers in the $300,000 - $350,000 range in previous months have been sold and buyers who want homes with at least the same or better features are willing to pay more for their home purchases as excess inventory has been taken from the market.
An interesting point is how sales of homes priced $500,000 to $900,000 compare, month-to-month during the three months studied. The MLS data for the three postal codes noted above shows nineteen closed in March, seventeen closed in April and twelve so far this month. It will be interesting to see the final tallies for May to see how well the real estate market in Williamsburg is performing. My prediction: the "sweet spot" for home sales moved up a notch from $300,000 -$350,000 and will be in the $350,000 - $400,000 range. Could happen.