What does the absorption rate mean? In simple terms, the absorption rate is the amount of time it will take for a specified set amount of properties to be absorbed based on current real estate market conditions.
Taking the 1052 homes currently available on the market for sale in Big Bear, divided by the 29 homes for that sold in January, gives the Big Bear real estate market a staggering 36.27 months absorption rate for home sales.
If you are more curious about absorption rates, take a look at this previous article I wrote last month.
January through April are typically the four slowest months of the year for Big Bear sales so expect this number to go down as we proceed throughout the year. Real estate sales should pick up for the seasonal adjustment but so will the inventory levels.
From a pricing standpoint, the properties listed for sale in Big Bear under $300,000 and over $1,000,000 did the best during the month of January while those between $301,000 to $500,000 and $801,000 to $1,000,000 did worse.
From a location standpoint, the properties listed for sale in Big Bear in areas like Big Bear Lake West (Boulder Bay, Papoose Bay, North Estates) and Big Bear Lake Central (Gilner Point, Village area, Ironwood Estates) did the best. The areas that saw little to no activity at all include: Big Bear Lake East (Eagle Point, Heavenly Valley & Winterpark Estates, and the Snow Summit area), Whispering Forest, Erwin Lake, Baldwin Lake, and Lake Williams.
If you are considering selling or buying a home in Big Bear area in the next few months, make sure to keep these numbers in mind. Big Bear absorption rates will be updated monthly here at The Big Bear Skinny so be sure to check back often.