Column: $1-2M the Heart of the Greenwich Real Estate Market
By Mark Pruner
The inventory, sales and contract chart below is the way most Realtors look at the Greenwich real estate market. We have inventory peaks at $2-3 million and $3-4 million. Our median listing price is $3.4 million and our average sales price is $2.3 million. Anyway you look at Greenwich is an expensive place to buy a house except for our low property taxes.
Part of this is the way that price ranges are broken down in the statistics with 3 price brackets under $1 million and 2 price brackets between $1 and 2 million. Realtors do this because these are the ranges that people look in. Someone looking for a $700,000 house is generally not going to consider a $900,000 for a house.
But look how different the inventory and sales when combine these 5 lower price ranges into 2 ranges of a million dollars each. All of a sudden the $1-2 million price range jumps out for inventory, sales and contracts.
This price range jumps so much that I had to expand the number range on the left side to get the full inventory bar for this price on the chart and I compressed the normal five price range bar chart so that heights of the bars are comparable. We have 127 listings in this price for the spring market.
The other thing that jumps out is just how much of sales and contracts are in this price range. Year-to-date 37% of the sales are in this price range and in March it was 45% of the sales or nearly half of all sales. This March was somewhat anomalous and the high percentage of sales in this price range won’t continue as only 32% of our contracts are in this price range, but that is still above the 22% of inventory between $1 and $2 million.
In 2015 the $1 -2 million had a major concentration of sales in Old Greenwich and Riverside, but you also see a good number of these sales in central Greenwich and the northern part of Cos Cob.
Glenville, mid-country and backcountry also have a fair number of sales, so with the exception of Byram you can find houses in this price range in just about any part of town.
In 2016 we are seeing a similar pattern with inventory in this price range, Old Greenwich and Riverside have a nice representation of these listings, but we are also seeing a renewed appreciation for Cos Cob.
Old Greenwich and Riverside have gotten a little pricey for some people. As a result, we have seen some significant appreciation in southern Cos Cob into the $1 – 2 million dollar price range, just as we have always seen in northern Cos Cob where the lot sizes are bigger.
When you look at the pie charts for inventory and sales the disproportionate per cent of sales to inventory jumps out further. The $1 -2 million price range is 22% of our inventory, but 38% of our sales.
Summary – In many ways $1 -2 million can be considered the heart of the Greenwich market. It is where we have the most inventory and the most sales; and the contracts show the most activity in the Greenwich market. For buyers we temporarily have plenty of inventory, but expect this to shrink by the middle of the year. For sellers, the buyers are out there and lots of people are looking. Properly priced houses get offers and flexible parties are coming to deals quickly.
By Mark Pruner – Douglas Elliman – Greenwich