If you are wondering how 2024 compared to other years in real estate check out the stats below
Yes, 2024 is expected to be one of the worst years for real estate sales in the past 25 years:
- Low home sales: In the first eight months of 2024, only 2.5% of homes in the US changed ownership, the lowest turnover rate in at least 30 years.
- Fewer homes sold: 31% fewer US homes sold in 2024 than in 2019, which was before the pandemic.
- Unaffordable housing: The combination of high home prices and high mortgage rates has made the housing market one of the most unaffordable in a generation.
- Low inventory: Inventory shortages have been keeping sales down in many markets.
- Slow sales: Existing home sales have been stuck at around 4 million units for the past 12 months.
- High prices: Median existing home prices have increased for 15 consecutive months.
Some predict that falling mortgage rates will help boost home sales next year. However, others say that buyers will continue to face a competitive market well into 2025.
According to the National Association of Realtors, it typically takes between 6 and 18 months to convert a real estate lead into a customer, with the average conversion time falling within that range depending on factors like lead quality and nurturing methods used by the agent.
Key points to remember:
- Variation based on market and agent:
The exact time frame can vary depending on the local real estate market, the quality of the lead, and the agent’s skill in nurturing leads.
- Importance of quick response:
To maximize conversion rates, it’s crucial to respond to leads promptly and initiate contact as soon as possible.
- Lead nurturing strategies:
Effective lead nurturing through consistent communication, personalized content, and follow-up can significantly shorten the conversion time.
According to most real estate industry standards, it typically takes around 20-25 touchpoints to convert a lead into a customer, meaning you might need to interact with a potential client through multiple channels like emails, calls, and texts before they become a paying customer.
Key points to remember:
- Variation in numbers:
The exact number of touches can vary depending on the lead quality, market conditions, and your sales strategy.
- Importance of nurturing:
A successful conversion often involves a well-planned lead nurturing process with consistent communication across different touchpoints.
- Quality over quantity:
Focus on providing valuable and relevant information to the lead at each touchpoint to maximize conversion chances
According to the National Association of Realtors, the average lead conversion rate in real estate typically falls between 0.4% and 12%; meaning
for every 1,000 leads generated, only 4 to 12 of them will convert into paying customers.
Key points to remember:
- Wide range:
This percentage can vary significantly depending on factors like the agent’s experience, market conditions, and lead quality.
- Importance of lead nurturing:
To improve conversion rates, real estate agents need to actively nurture leads by building relationships, providing valuable information, and addressing concerns throughout the buying process
Here are some ways the 2024 real estate market in Phoenix, Arizona compares to other years:
- Home prices
In October 2024, the median home price in Phoenix was $451,000, which was up 2.5% from the previous year. However, the median listing price was $499,000, which was down 3.1% from the previous year.
- Days on the market
In October 2024, homes in Phoenix sold after an average of 50 days on the market, which was longer than the 37 days in the previous year.
- Number of homes sold
In October 2024, 1,324 homes were sold in Phoenix, which was up from 1,238 in the previous year. However, Phoenix was the second metro area in the U.S. for the biggest decrease in year-over-year home sales.
- Median price per square foot
In November 2024, the median price per square foot for homes in Phoenix was $285.
Some say that Phoenix’s real estate market is cooling down due to rising interest rates and a decrease in demand. However, others say that the median sale-to-list ratio indicates a favorable environment for buyers and sellers.
