The just-released 2006 Center City Philadelphia Real Estate Market Report reveals that the average sale price for a Center City home is $372,633 up 3% over last year. Despite this record high, the Center City Philadelphia market has shown some signs of cooling off. Compared to the previous quarter the average price is down 3% and the time to sell a property has increased by 7 days.
The full report is available at http://www.philadelphiacityrealty.com/report and is based on an analysis of over 20,000 sold properties.
“With an average appreciation of 64% over the last 5 years it is reasonable that the market needs a breather,” says David Friedman, a Center City Philadelphia real estate agent who commissioned the report. “The recent softening of the market suggests a slowdown rather than a major change in direction.”
Highlights from the 2006 Center City Philadelphia Real Estate Market Report include:
* The average sale price for Q4 was $354,186 compared to Q3 of $370,097, a 3% drop. The number of sales dropped 24% for the quarter from 700 to 528; sales for the year remained flat at about 2,600.
* Price growth continues to remain strong in Center City East at 9% for the quarter versus Center City West where price is down 13% for the quarter.
* In 2002, the average Center City Philadelphia sale price was just $200,000. In 2005, it passed $300,000.
* New Construction properties average price was up 23% for the quarter and 10% for the year with virtually no discounting from asking price. “While the long term appreciation is lower than average, the demand for this market segment is expected to continue”, says David.
* Northern Liberties and Society Hill/Penn’s Landing neighborhoods experienced over 30% growth in sale price compared to 2005. Old City and Avenue of the Arts neighborhoods were the only neighborhoods with a price drop.
ABOUT CENTER CITY PHILADELPHIA MARKET REPORT
The Center City Philadelphia Market Report provides summary and neighborhood market information on Center City real estate. The report is based on sale information from the Philadelphia metropolitan region’s multi-list system, TReND, for the period from 2001 to 2006. The report is published by Philadelphia City Realty at http://www.philadelphiacityrealty.com/report and will be updated on a quarterly basis.