Memorial Day is Monday May 30 this year, less than two weeks from now. Austin home sellers may wonder if this traditional kickoff of the summer selling season in Austin actually produces offers. I have a listing for a home in Austin coming up that will be ready the weekend before Memorial Day. Would it be a waste of market time to list a home in Austin the Thursday before Memorial Day, right before everyone heads out for vacations, or should a home be placed on the market for sale as soon as it’s ready, regardless of holidays?
The potential downside could be that putting a home up for sale before a big holiday weekend will accomplish nothing more than earning it additional days on market with no hope for a fast offer. I mean, who spends Memorial day weekend looking at houses anyway, right? Might as well wait until the Tuesday after, if following this logic. But let’s see if the assumption is supported by data.
|Listed Before Memorial Day Weekend|
|Year||# Sold||Med/Avg DOM||% OLP|
The chart above shows the stats for the past 4 years for homes sold in the Austin MLS with listing dates the Wed-Mon preceding and inclusive of Memorial Day for each year. In other words, these homes in Austin were listed for sale either just before or during the actual Memorial Day weekend.
The fist column is # Sold, the next is the median and average days on market before the home sold. The last column is the percentage of Original List Price for which the home sold. If the assumption that these homes suffered “holiday lag time” is correct, then that should be revealed in the next chart, which will show homes that were listed for sale immediately after Memorial Day weekend for the same 4 years.
For the following chart, I looked at homes listed the Tuesday through Sunday immediately following Memorial Day weekend.
|Listed After Memorial Day Weekend|
|Year||# Sold||Med/Avg DOM||# Sold|
So, did the above post-Memorial Day listings perform better? No, not really. Lets start with 2010 sales.
In 2010, the homes listed just prior to Memorial Day eventually sold faster than the homes listed after. And they sold for a higher percentage of original list price. There were far fewer listings, probably because people wait until after the weekend, as the assumption and common sense would suggest doing, so the lower inventory could have a slight effect on the data, but there it is.
In 2009 though, the numbers are essentially inconclusive with no real significant different, though the pre-Memorial Day listings do win with a slight advantage. Back in 2008, it was mixed. In 2007, the post Memorial Day listings won, by a slight amount.
Let’s look at one more stat, or ask one more question. Do listings for homes in Austin actually get sold during the actual Memorial Day weekend, or do the above sales actually happen on the book ends?
|Accepted Offer Day|
This chart above shows the number of contracts actually signed – the “Pending Date” – for homes in Austin over Memorial Day weekend for each year. The Pending Date is the actual date, also called the “Effective Date”, that the final initials or signatures were placed on the contract making it a “done deal”.
In 2010, On the Thursday thru Tuesday of Memorial Day, 257 contracts were finalized. Of those, 128 were finalized on Fri, Sat, Sun or Mon, smack in the holiday weekend. Though this does show that more than half of the 257 happened on the Thursday or Tuesday before or after, which does support the notion that people were either hurrying up or catching up on both sides of the actual long holiday weekend. Nevertheless, as you can see for the other years listed, buyers and sellers are in fact around and/or available to execute contracts during Memorial Day weekend in Austin.
Conclusion: If your home in Austin is prepared and ready to go on the market just before Memorial Day weekend, go ahead and list it. There is no reason, statistically, to wait. It might get shown and you might get an offer.