BUY&SELL Home Sales Data For The Greater Philadelphia Real Estate Market / 2012 Summary
WATERVIEW
Kurfiss.com/5878098
$2,195,000
A LETTER FROM THE CHAIRMAN Welcome to Kurfiss Sotheby’s International Realty’s inaugural issue of Buy&Sell, a quarterly look at home prices and sales trends in the greater Philadelphia area. With help from Philadelphia real-estate market expert Charles “Chuck” Cosgrove, we are offering an overview of market performance in Bucks, Chester, Delaware, Montgomery and Philadelphia counties in Pennsylvania. We all hear news about national real estate sales trends. While this data provides a broad sense of market conditions, it is critical that consumers understand their local markets and make decisions to sell or buy based on specifics about sales in their ZIP codes or neighborhoods. Pricing a home correctly is fundamental to securing a timely offer. Buyers, of course, need to understand which way prices are trending in their target neighborhoods. I am happy to report that data in this issue suggests conditions are improving in many parts of the greater Philadelphia market. In some price ranges, the market is reaching a balance between supply and demand; prices are inching upward slightly. To see if this recovery can continue forward, check back in May when our next issue appears. Or if at any time you would like more information about market conditions in your area, please contact our Philadelphia or Bucks County office. An associate will be happy present you with a summary of recent activity in your neighborhood or price range. Warm Regards,
Donald D. Pearson Chairman Kurfiss Sotheby’s International Realty
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TABLE OF CONTENTS • The Year 2012 at a Glance...............................................Pg 4 • The Market in Bucks County............................................Pg 8 • The Market in Chester County.......................................Pg 14 • The Market in Delaware County...................................Pg 20 • The Market in Montgomery County............................Pg 26 • The Market in Philadelphia County..............................Pg 32 Buy&Sell is produced quarterly by Kurfiss Sotheby’s International Realty. All rights reserved. Data in the report are prepared by Charles “Chuck” Cosgrove. Cosgrove is the founder of the Mr. Chips School of Real Estate headquartered in Doylestown, Pa. He has been in real estate since 1991 and is licensed in Pennsylvania, New Jersey and North Carolina. Cosgrove provides pre-licensing, broker and continuing education classes with an accent on market information, technology and student involvement. Data are from Trend, the multiple-listing service for 28,000+ real estate professionals in Pennsylvania, New Jersey and Delaware. Questions about the data in this report can be emailed to: info@kurfiss.com
BUCKS COUNTY OFFICE 6038 Lower York Road, New Hope, Pennsylvania 18938
Office: 215.794.3227
PHILADELPHIA/MAIN LINE OFFICE 226 W. Rittenhouse Square, Suite 102, Philadelphia, Pennsylvania 19103
Office: 215.735.2225
VIEW DISTINCTIVE PROPERTIES IN EVERY PRICE RANGE AT KURFISS.COM
DRIFTING DELL FARM
Kurfiss.com/5897075
$1,644,000
KURFISS.COM 3
THE YEAR 2012 AT A GLANCE
THE INN AT BARLEY SHEAF FARM Kurfiss.com/6175410
$4,500,000
4 KURFISS.COM
2012 PHILADELPHIA-AREA HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012
$0.0
PHILADELPHIA-AREA HOME PRICES From 2003 - 2012 Includes Bucks, Berks, Chester, Delaware, Montgomery and Philadelphia Counties
Finally, 2012 brought signs of improvement in the real estate market in many areas of southeastern Pennsylvania, and what a long time coming it has been for home sellers in particular. In 2012, sales (total dollar volume) increased 17% from 2011, the first sign of rebound in Pennsylvania sales since 2005. Prices in the area inched upward a bit, due in large part to gains in Philadelphia County. Prices in most other areas price were flat or down, as shown in the pages that follow.
KURFISS.COM
5
ROCKWOOD FARM Kurfiss.com/5709082
$9,650,000
PHILADELPHIA-AREA SUPPLY OF HOMES
N U M B E R
In Months By Price Range Includes Bucks, Chester, Delaware, Montgomery and Philadelphia Counties
O F M O N T H S
0.0 $
$
$
<$
The number of homes available is lower than it has been for the past four years in most market segments, with inventory levels (shown above in number of months of inventory available) varying widely by price range. If inventory levels continue to move lower, then prices should rise in 2013.
6 KURFISS.COM
PHILADELPHIA-AREA RESIDENTIAL PROPERTY SALES Units Sold From 2003 - 2012 Includes Bucks, Berks, Chester, Delaware, Montgomery and Philadelphia Counties
Another harbinger of “good things to come” was the increase in unit sales that accompanied the increase in dollar volume. The number of units sold slid for six years until 2012; in 2013, the market may see sales approaching 2008-2009 levels.
THE RITTENHOUSE PLAZA Kurfiss.com/6160189
KURFISS.COM
$2,499,000
7
THE MARKET IN BUCKS COUNTY
CIRCA 1753 STONE HOME Kurfiss.com/6048857
$1,285,000
8 KURFISS.COM
LONGWOOD
Kurfiss.com/6123184
$3,595,000
BUCKS COUNTY HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012
$0.0
In 2012, sales in dollar volume grew 15% in Bucks County from 2011. This is the first sign of an upward trend after six years of decline.
KURFISS.COM
9
BUCKS COUNTY AVERAGE HOME PRICES From 2003 - 2012 PCT
YEARS
1.64%
Annual
15.7%
03 - 12
-8.8%
05 - 12
-12.6%
06 - 12
-12.9%
07 - 12
-0.5%
09 - 12
-4.9%
10 - 12
$0
Prices in Bucks County stabilized in 2012, and while the table within the chart shows some dramatic declines in prices, overall average prices are up 16% since 2003.
10
KURFISS.COM
BUCKS COUNTY SUPPLY OF HOMES
N U M B E R
In Months By Price Range
O F M O N T H S
0.0 $
$
$
<$
Inventory in every price range is lower in early 2013 than it was one year ago. If this trend continues, then prices should strengthen in 2013.
EVERY VIEW IS A PAINTING Kurfiss.com/6134202
KURFISS.COM
$1,195,000
11
FRENCH MANOR HOME Kurfiss.com/6093490
$3,250,000
BUCKS COUNTY RESIDENTIAL PROPERTY SALES Units Sold From 2003 - 2012
Unit sales were strong in 2012, increasing 15% from 2011. The number of units sold in Bucks County surpassed sales numbers from 2008-2011.
12
KURFISS.COM
BUCKS COUNTY: Luxury Market Snapshot Year Units 2011 52 2012 62
Average Price Median Price $1,421,154 $1,242,500 $1,691,048 $1,362,500
Distressed 4% 3%
NEW HOPE-SOLEBURY AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 19 2012 20
Average Price Median Price $1,587,789 $1,300,000 $1,978,975 $1,638,500
Distressed 0% 10%
NEWTOWN AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 19 2012 27
Average Price Median Price $1,400,105 $1,275,000 $1,591,315 $1,250,000
Distressed 11% 0%
DOYLESTOWN AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 9 2012 6
Average Price Median Price $1,228,333 $1,195,000 $1,350,833 $1,250,000
Distressed 0% 0%
UPPER BUCKS GENTLEMANâ&#x20AC;&#x2122;S FARM Kurfiss.com/5702488
KURFISS.COM
$2,500,000
13
THE MARKET IN CHESTER COUNTY
IDYLLIC COUNTRY HOUSE Kurfiss.com/6052792
$1,300,000
14
KURFISS.COM
EXQUISITE COUNTRY HOME Kurfiss.com/6027244
$885,000
CHESTER COUNTY HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012
$0.0
Chester County had among the strongest increases in sales in terms of dollar volume in the Philadelphia area, up almost 19% from 2011.
KURFISS.COM
15
CHESTER COUNTY AVERAGE HOME PRICES From 2003 - 2012 PCT
YEARS
1.54%
Annual
14.7%
03 - 12
-6.5%
05 - 12
-10.8%
06 - 12
-11.8%
07 - 12
-0.2%
09 - 12
-6.2%
10 - 12
$0
Prices have not shown as much strength with a 4% drop in 2012 from 2011. However, since 2003, average prices in Chester County are up 15%, as shown in the table within this chart.
16
KURFISS.COM
CHESTER COUNTY SUPPLY OF HOMES N U M B E R
In Months By Price Range
O F M O N T H S
0.0 $
$
$
<$
Inventory in Chester County is lower than it has been for the past four years. If inventory adjusts, particularly at the first-time buyer level (<$300,000), prices should rise in 2013.
STANFORD HALL
Kurfiss.com/6143000
KURFISS.COM
$1,795,000
17
LOWE LAND FARM Kurfiss.com/6025394
$2,950,000
CHESTER COUNTY RESIDENTIAL PROPERTY SALES Units Sold From 2003 - 2012
The number of homes sold in 2012 increased almost 24% over 2011, stopping a seven-year slide. With some “legs,” this number in 2013 could surpass 2007 levels.
18
KURFISS.COM
CHESTER COUNTY: Luxury Market Snapshot Year Units 2011 75 2012 62
Average Price Median Price $1,513,781 $1,249,000 $1,380,361 $1,225,000
Distressed 5% 3%
MALVERN AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 16 2012 14
Average Price Median Price $1,699,759 $1,388,375 $1,497,143 $1,225,000
Distressed 6% 7%
MAIN LINE AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 40 2012 27
Average Price Median Price $1,410,936 $1,200,000 $1,280,981 $1,200,000
Distressed 8% 0%
CHADDS FORD-WEST CHESTER AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 11 2012 8
Average Price Median Price $1,836,591 $1,275,000 $1,560,500 $1,507,500
Distressed 0% 0%
REFINED YET COMFORTABLE Kurfiss.com/6167029
KURFISS.COM
$945,000
19
THE MARKET IN DELAWARE COUNTY
CASA PACIFICA Kurfiss.com/6083073
$4,950,000
20
KURFISS.COM
HONEYSTONE
Kurfiss.com/6177853
$6,500,000
DELAWARE COUNTY HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012
$0.0
The total dollar volume in sales increased 19% in 2012 from 2011. The market clearly is showing signs of stability after four years of marked declines.
KURFISS.COM
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DELAWARE COUNTY AVERAGE HOME PRICES From 2003 - 2012 PCT
YEARS
2.86%
Annual
28.7%
03 - 12
4.4%
05 - 12
2.8%
06 - 12
-3.3%
07 - 12
-4.6%
09 - 12
-1.5%
10 - 12
$0
Prices in this market are just 3% below peak levels. Overall, there has been a 28% increase in average home values from 2003 to 2012.
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DELAWARE COUNTY SUPPLY OF HOMES N U M B E R
In Months By Price Range
O F M O N T H S
0.0 $
$
$
<$
Starter home inventory (<$300,000) is stubbornly high, moderately troubling for 2013. Still, it is moving lower in this and other categories, a positive sign for home prices in 2013.
CROSSCREEK FARM
Kurfiss.com/6166783
$6,750,000
KURFISS.COM 23
RISE ABOVE FARM Kurfiss.com/6074771
$2,350,000
DELAWARE COUNTY RESIDENTIAL PROPERTY SALES Units Sold From 2003 - 2012
The number of housing units sold rose 21% in 2012 in Delaware County and just as in other area counties, this increased halted a slide that began in 2008.
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DELAWARE COUNTY: Luxury Market Snapshot Year Units 2011 57 2012 65
Average Price Median Price $1,453,364 $1,275,000 $1,488,643 $1,354,500
Distressed 2% 2%
MAIN LINE AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 42 2012 50
Average Price Median Price $1,497,976 $1,295,000 $1,449,269 $1,289,750
Distressed 2% 0%
NEWTOWN SQUARE AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 5 2012 7
Average Price Median Price $1,710,000 $1,700,000 $1,719,286 $1,620,000
Distressed 0% 0%
CHATEAU EN BOIS DE ROCHE Kurfiss.com/6090665
KURFISS.COM
$3,800,000
25
THE MARKET IN MONTGOMERY COUNTY
MEADOWBROOK Kurfiss.com/5885397
$7,750,000
26 KURFISS.COM
RICHARD NEUTRA-COVENEY HOUSE Kurfiss.com/10152012
$1,300,000
MONTGOMERY COUNTY HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012
$0.0
Montgomery County has the greatest dollar volume in the Philadelphia market. It finished last year, 18% ahead of 2011 totals.
KURFISS.COM
27
MONTGOMERY COUNTY AVERAGE HOME PRICES From 2003 - 2012 PCT
YEARS
1.73%
Annual
16.7%
03 - 12
-7.2%
05 - 12
-11.7%
06 - 12
-11.4%
07 - 12
0.9%
09 - 12
-4.8%
10 - 12
$0
Prices are 11% below peak levels in Montgomery County but do show stability in 2012. This chart shows a 16% increase in average prices from 2003-2012.
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MONTGOMERY COUNTY SUPPLY OF HOMES N U M B E R
In Months By Price Range
O F M O N T H S
0.0 $
$
$
<$
Inventory in 2012 declined in every price range from 2011, and if this trend continues, it suggests prices in Montgomery County will increase in 2013.
PLUMB NILLY
Kurfiss.com/6131964
KURFISS.COM
$2,500,000
29
EAST MEETS WEST Kurfiss.com/6174293
$1,999,000
MONTGOMERY COUNTY RESIDENTIAL PROPERTY SALES Units Sold From 2003 - 2012
The number of houses sold in 2012 rose 18% from the year prior. The 7,814 transactions in Montgomery County tied the level set in 2008.
30
KURFISS.COM
MONTGOMERY COUNTY: Luxury Market Snapshot Year Units 2011 94 2012 119
Average Price Median Price $1,463,840 $1,306,250 $1,451,719 $1,273,250
Distressed 3% 3%
WHITEMARSH-MORELAND-HORSHAM AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 12 2012 12
Average Price Median Price $1,361,667 $1,225,000 $1,597,917 $1,375,000
Distressed 0% 0%
BLUE BELL - GWYNEDD AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 10 2012 8
Average Price Median Price $1,369,125 $1,387,500 $1,585,375 $1,387,500
Distressed 10% 0%
MAIN LINE AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 64 2012 97
Average Price Median Price $1,510,294 $1,325,000 $1,415,531 $1,250,000
Distressed 0% 2%
CLASSIC VILLANOVA ESTATE Kurfiss.com/5765204
KURFISS.COM
$2,345,000
31
THE MARKET IN PHILADELPHIA COUNTY
THE MURANO
Kurfiss.com/6057220
$795,000
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THE AYER BUILDING
Kurfiss.com/6172042
$1,395,000
PHILADELPHIA COUNTY HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012
$0.0
Sales dollar volume increased only 14% from 2011, the lowest increase in the Philadelphia region. But notably, the sales behind that 14% increase were on higher priced listings.
KURFISS.COM 33
PHILADELPHIA COUNTY AVERAGE HOME PRICES From 2003 - 2012 PCT
YEARS
5.42%
Annual
60.8%
03 - 12
16.5%
05 - 12
7.6%
06 - 12
4.8%
07 - 12
9.0%
09 - 12
7.6%
10 - 12
$0
While prices in individual ZIP codes and neighborhoods suffered, overall average prices show an increase in 2012 because so many sales were for higher-priced properties. Average prices between 2003 and 2012 are up an incredible 60%.
34 KURFISS.COM
PHILADELPHIA COUNTY SUPPLY OF HOMES N U M B E R
In Months By Price Range
O F M O N T H S
0.0 $
$
$
<$
An extraordinary drop in inventory occurred in 2012 in the luxury property category, and inventory has declined in all price bands. If this trend continues, then prices should continue to rise in 2013.
10 RITTENHOUSE SQUARE Kurfiss.com/6161676
KURFISS.COM
$1,350,000
35
SPRUCE STREET MANSION Kurfiss.com/6162588
$2,450,000
PHILADELPHIA COUNTY RESIDENTIAL PROPERTY SALES Units Sold From 2003 - 2012
The number of homes sold in 2012 in Philadelphia finished 7% ahead of 2011, halting a six-year slide in unit sales.
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PHILADELPHIA COUNTY: Luxury Market Snapshot Year Units 2011 55 2012 83
Average Price Median Price $1,560,076 $1,400,000 $1,510,734 $1,325,000
Distressed 0% 2%
CHESTNUT HILL AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 6 2012 9
Average Price Median Price $1,204,167 $1,215,000 $1,242,222 $1,250,000
Distressed 0% 0%
RITTENHOUSE SQUARE AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 26 2012 34
Average Price Median Price $1,637,465 $1,550,000 $1,577,908 $1,470,000
Distressed 0% 3%
SOCIETY HILL AREA: $1,000,000+ Activity From 2011 vs 2012 Year Units 2011 13 2012 22
Average Price Median Price $1,661,923 $1,360,000 $1,671,136 $1,356,500
Distressed 0% 5%
CALDWELL MANOR AT THE WILLINGS Kurfiss.com/6155837
KURFISS.COM
$799,000
37
BUCKS COUNTY OFFICE 6038 Lower York Road, New Hope, Pennsylvania 18938 Office: 215.794.3227
PHILADELPHIA/MAIN LINE OFFICE 226 W. Rittenhouse Square, Suite 102, Philadelphia, Pennsylvania 19103 Office: 215.735.2225
VIEW DISTINCTIVE PROPERTIES IN EVERY PRICE RANGE AT KURFISS.COM