Prospect Ky homes for sale are now taking longer than 230 days to leave the market, on average.  Just one year ago, homes were averaging only 95 days or so to leave the market, but that time has now more than doubled.  Even the trend line, shown in gold, is tracking on the same increase.  The sad, or scary, part is that I have not seem many indicators that make me think a positive shift is anywhere in the near future.  This bleak outlook might be doubly true for Prospect, since the homes tend to be on the more expensive side.  And expensive homes are selling even slower than the overall market, so all of the trends in Prospect look worse than the overall Louisville market.

Ok, I admit it, this might not be the world’s best video ever, but I am constantly surprised at the number of people who ask me about Prospect, and don’t even know where it is in relation to Louisville. Of course, most of the people asking are from out of town, and don’t realize how easy it is to get to Prospect. So as I drove out to Prospect recently, I stuck my iPhone up in the front dash and shot a quick video as I drove out US 42.

If you have any questions about Prospect Ky real estate, please make sure to visit my website and check out the community pages.

For months and months, the median asking price of Prospect Ky homes for sale sat right at $500,000, with almost no variation at all.  However, in the past few weeks, we have seen a bit of a drop off, as median asking prices have fallen in Prospect about 3%, or $15,000, down to $485,000.  My best guess at this point why median asking prices may be falling at this point is pretty simple.  It is heading into spring, and lots and lots of people are putting their house on the market.  And a lot of the new listings are priced less than $500,000, which will naturally bring the overall median asking price down.

The Prospect Ky homes for sale market seems to be in better shape today than it was a year ago this time, but in worse shape than just a few months ago, leaving us a bit up in the air when trying to decide where we stand.  However, to keep things in perspective, the Prospect Ky real estate market is definitely in worse shape overall than some other parts of town, due largely in part to higher asking prices in Prospect, and the slow sales numbers for higher priced homes.  But if we look only at Prospect, we can see that we had a market action index of about 12.5 last year, and saw that value rise all the way to 16 in the summer months.  Please note that 16 is still well inside the Buyers Market measurement, and that other parts of Louisville were looking at measurements around 20 at the same time.   Since the summer months, and in the last few weeks in particular, we are now looking at a market action index of under 14.00, which is not the direction we want to be heading in.

For months now, the median asking price of Prospect Ky homes for sale has been holding steady right around $500,000.  In addition, new listings have been showing a median asking price significantly lower than existing listings.  But now, it appears that the median asking price of new listings has spiked recently, and is now approaching the level of existing listings.  Also, the median price of absorbed listings has shot up in the last few weeks, indicating some high price homes are leaving the market, for one reason or another, and have passed up both new listings and existing listings.

The inventory level of Prospect Ky homes for sale has spiked in the past week, up over 10% since the previous weekly measurement.  Last week, there were about 210 homes for sale in zip code 40059, and of this week’s measurement, there are now about 232 available homes, an increase of 22, or just above 10%.  A 10% jump in one week sounds really bad, but compared to other parts of town, Prospect inventory levels actually look pretty decent.  The St Matthews area, Highlands area and Louisville in general all saw about a 20% increase in inventory levels over the past 2 or 3 weeks.

The Prospect Ky real estate market is firmly in the grips of a strong Buyers Market, and has been for quite awhile.  Look at the graph below, provided by Altos Research, which shows the Median Action Index for homes for sale in Prospect, or 40059.  This is a collection of measurements, such as days on market, asking price and  how many homes are leaving the market, combined together to find out if our local market is in a sellers or buyers market, and how far so.  A measurement of 30 marks a balanced or neutral market.  Below 30 is a Buyers Market, and Prospect is showing a median market action index of 15, a very strong buyers market.

Prospect Ky Homes For Sale Inventory Still Trending Down, even if there seems to be a little variance in the past few weeks about whether or not inventory levels are plateauing, or getting ready to rise.  In many other parts of town, such as St Matthews and the Highlands, people are seeing quite severe spikes up in inventory levels, around 20% rises in just one or two weeks.  However, looking below at the gold line, which is the 90 day rolling average, you can see that the trend line is still heading down.  If Prospect follows suit with most other parts of Louisville, we should expect to see inventory levels head up in the next few weeks.

Prospect Ky has seen four straight months of falling inventory levels when measuring homes for sale.  According to the 90 day rolling average on the graph below, you can see that the inventory levels peaked back in September, and in every month since then, the number of homes for sale in Prospect Ky has dropped.  If you prefer to look at the weekly data points, shown in black, you will find an occasional spike up, but overall, the trend is clear, and the trend is straight down.  Prospect went from a high of almost 278 homes for sale in the past year, down to 210 just last week.

The median asking price for Louisville Luxury Homes located in Prospect has now risen above $1,000,000, up over $200,000 from this time last year.  Luxury homes, defined here as the most expensive 25% of homes on the market, have not been selling well this past year, so some people may be confused to see that the asking price has risen so dramatically.  It might help to remember that this is only a graph for asking prices, not sales price.  Just because the trend is that asking prices are rising doesn’t mean that the high end homes are selling.  Instead, it is more likely that most of the homes selling in the Prospect Ky Real Estate market are lower priced homes, which means that only higher priced homes are left on the market, with the result being a rise in the median asking price of these expensive homes.