Covington GA, Real Estate Market Trends!

The Market Action Index (MAI) illustrates the balance between supply and demand using a statistical function of the current inventory.

An MAI value greater than 30 typically indicates a "Seller's Market" (a.k.a. "Hot Market") because demand is high enough to quickly gobble up available supply.  A hot market will typically cause prices to rise.  MAI values below 30 indicate a "Buyer's Market" (a.k.a. "Cold Market") where the inventory of already-listed homes is sufficient to last serveral months at the current rate of sales.  A cold market will typically cause prices to fall.

Residential house prices are a function of supply and demand, and market conditions can be characterized by analyzing those factors.  Watch the Median Market Action Index for sustained changes: if the index falls into the Buyer's Market zone for a long period, prices are likely in for a downward correction.