North Avondale, Cincinnati, Ohio 45229, Hamilton County

Property Value Trend

MLS statistics indicate that the average and median sale prices for single family homes in the Cincinnati neighborhood of North Avondale from 11/10/2009 to 11/10/2010 were $270,879 and $246,000 respectively.

This is an increase of 13.56% from the average and 2.50% from the median sale prices of $238,526 and $240,000 from 11/10/2008 to 11/10/2009.

Inventory / Marketing Time

As of 11/10/2010 there have been 14 sales in the last 12 months, indicating an absorption rate of 1.17 per month over the year.

There are currently 12 active listings, which represents a 10.3 month supply at last years average absorption rate. The trend is judged to be an *over supply.

Demand / Supply

There are 3 pending sales which is a **healthy ratio of 4:1 listings to pending sales, indicating that the current market is stronger than the average over the last year.

Investors wanting to buy homes in neighborhoods with increasing values, should track price trends and watch for shrinking inventory (as measured in number of months supply of active listings) coupled with increasing demand (as measured by listings to pending sales ratio).

North Avondale Single Family Housing Profile

***Typical single family homes range in age from 40 to 140 years.

****Predominant age range is 80 to 100 years old.

***Typical single family homes range in sale price from $100,000 to $450,000.

****Predominant sale price range in the last year was $155,000 to $365,000.

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Investors should give strong consideration to the implications of investing in homes that are above the typical price range of homes in the neighborhood. Such homes are widely considered to be “over-improvements”. One of the investor’s best strategies of “forced appreciation through home improvement” will likely be limited to needed repairs or not profitable. Appreciation from the increase in value of competing homes, which will likely be in other neighborhoods, will often suffer from being in a neighborhood of less valuable homes.

Of course appreciation is not the only measure of a good investment. Fix and flip properties and properties with a strong positive cash flow can be good investments without appreciating. But knowing the neighborhood before buying can help the real estate investor properly evaluate the expectation of future financial benefits.

For updates on other Greater Cincinnati neighborhoods in southwestern Ohio, click neighborhood market data now, or visit Cincinnati Real Estate Bargains.com on a regular basis. Better yet, subscribe to the RSS feed to have updates sent to you as they are posted. If you would like to request an update on a specific neighborhood in Hamilton County, Butler County, Clermont County or Warren County, email ken@cincinnatirealestatebargains.com .

*A 5 to 6 month inventory is typically considered to be a balanced market. Inventory of greater than a 6 month supply is judged to be an over supply of available homes for sale. Less than 5 months is viewed as a shortage situation.

**A normal ratio of listings to pending sales is typically considered to be between 3:1 and 5:1. Ratios of greater than 5:1 represent increasingly weaker demand, while ratios of less than 3:1 indicate increasingly stronger demand.

***Typical ranges may exclude statistical outliers that would mislead or lessen the reader’s understanding as to the nature of the neighborhood’s housing stock or price range.

****Predominant is defined here as greater than 50 percent of house ages or sale prices.

This entry was posted on Monday, November 15th, 2010 at 12:03 am and is filed under Cincinnati Neighborhood Market Data. You can follow any comments to this entry through the RSS 2.0 feed. You can leave a comment, or trackback from your own site.

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