Median asking prices for Louisville homes for sale have risen about $10,000 since the beginning of March. I am curious to see whether or not this is a spring bounce, or more the effect of a few extra buyers coming out to take advantage of the $8,000 Federal Tax Credit. I suppose the answer will be upon us soon enough as the tax credit expires in just a few more days or weeks. Over the past year, the Louisville real estate market has seen a high median asking price of about $173,000, very briefly, and then down to $145,000. With a little luck from a possibly improving economic environment, sales will improve, which will also push home prices a bit.
Recently I had the chance to spend some time with Fred Andres, owner and President of Miter Construction. We were together to talk to a client about a potential Louisville new construction project in the Highlands. After the meeting, I pulled Fred aside and just spend about two or three minutes with him discussing 2009 for builders in the Louisville area, and about his continued success as a builder. As he mentions in the short video, available below, he actually built and sold around 5% of all the luxury homes that sold in the Louisville area in all of 2009.
There are some new numbers available on Louisville new construction sales in December, and not all of it is great news. Looking only at homes that are one year old or less, I have put together a simple table showing how many have sold, how many are availabe, and how many new homes came on the market in December. One way to look at it is that at least some homes sold! 28 new construction homes in Louisville sold in December. However, more than that came on the market in the same time frame, which pushes the inventory in the wrong direction, if you are a seller. Also, there are still over 300 Louisville new homes on the market, meaning that if we continue to sell new construction homes at around 30 a month, it will still take 10 full months to sell all of the standing inventory. And that is if no new listings come on the market, which is very doubtful!
Even in today’s tough real estate market, there are still some Louisville new construction homes that are selling. I have included a chart of recent sales from November of new homes that sold in our local market. These are all of the single family homes that sold through the Greater Louisville Area Realtors in November that were only one year old, or less. As you can see, even in one of the worst markets of all time, over 60 new homes sold in just November. That’s the good news, I suppose. The bad news: there are over 700 new homes currently on the market today. That will take quite a bit of time to work through that inventory, even if no new homes come on to the market, which we know just won’t happen.
Only two homes that were new construction sold in the Highlands area of Louisville in 2009, and they were in very different parts of the Highlands. If you were to look on the MLS in area 2, the local board would report that two homes sold that were Louisville new construction. However, one was in Camp Taylor, and the other was on Valley Vista, which really is in the Highlands, so my guess is that some people would say only one home that was new construction sold in the Highlands area in 2009. Here is a picture of that home, just in case you were curious. Also, the builder of that home was Miter Construction and I’m sure they would be happy to build your house too.
Louisville New Construction
If you have any questions about Louisville New Construction, or Louisville real estate in general, please visit my website at www.GregFly.com. Also, please feel free to call anytime or send me an email at greg@gregfly.com.
I had a chance to sit down today with one of Louisville’s luxury home builders in my office today, after he gave a presentation to one of our clients. Fred Andres, President of Miter Construction, has been building homes in the Louisville area for quite awhile now, and built and sold two luxury homes last year, in a really down year for expensive homes. Here is just a short bit of video from our meeting today:
For transparency sake and for full disclosure, I will tell you that Fred is my step-brother, and has been for many years. But that doesn’t mean that he isn’t one of Louisville’s premier luxury home builders!
If you’d like more information on Louisville Luxury Homes or high end homes in general, please make sure to visit my website and I’ll be happy to answer your questions.
As bad as many people make the Louisville real estate market out to be, especially new homes and new construction homes in Louisville, sometimes it is important to actually look at the numbers to be able to put things in perspective. Yes, fewer new homes are being sold in Louisville than in years past. But as the chart below shows, to date, the local Realtor board is reporting that close to 1050 new homes have sold in the first eleven months of the year, almost 100 a month! While I know that many builders have gone out of business, Louisville is not so big that selling 100 homes a month can’t support at least a few local builders and still allow them to grow. It simply may be harder to sell the Louisville New Homes further out of town, while new construction continues to sell well the closer to town it is, not including condos!
