The Norwich, Vermont real estate market remained strong in 2019, despite the fact that sales were down compared to the year prior. Specifically, the market saw thirty-two (32) sales in 2019, down 30% from forty-six (46) sales in 2018. While substantial, the decrease is likely due to the very limited inventory that was on the market both at the onset of and throughout 2019, rather than any reduction in buyer demand.
On average, buyers paid closer to seller’s asking prices than they have in prior years, and in a number of transactions they paid full price or more than the asking price. In fact, 34% of the homes that sold in 2019 transacted at or above a seller’s asking price. Additionally, the average negotiating discount – the % difference between a home’s list price and sale price – reached an all-time low of just 1.71% in 2019.
Supply of single-family homes in Norwich has been declining steadily over the past five years and reached a staggeringly low point at the conclusion of 2019. Specifically, there were just three (3) properties actively listed on December 31, 2019, compared to eleven (11) listed on the same date in 2018. Unless a significant number of homes come on the market early this year, depressed inventory will remain the limiting factor in the number of transactions that take place in Norwich in 2020.
There were two (2) sales of homes for more than $1 million, down from six (6) in 2018.
In regard to the broader real estate market in the region as a whole, the Greater Hanover-Lebanon market area – comprising Hanover, Lyme, Hartford, Lebanon, and Norwich – was very solid in 2019. The market area saw 338 sales of single-family homes in 2019, compared to 350 in 2018.
Prices continued to rise with Hanover, Hartford, and Lebanon each seeing record highs in regard to the average price of sold homes. In 2019, the average price of homes sold in Hanover was up 2% from the previous year and just shy of $750,000, Hartford was up 20% at $277,000, and Lebanon was up 3% at $295,000. Prices may also be rising in Lyme and Norwich, however there are not enough annual sales in these towns to produce a figure that is not easily swayed by the number of luxury sales that vary between different years.
Another sign of continued strength in the Greater Hanover-Lebanon market area was the average negotiating discount, which has been steadily decreasing from a high of 5.85% in 2010 to a record-low of just 2.48% in 2019. To put this differently, 39% of homes that transacted during 2019 sold either at or above a seller’s asking price. This was even more pronounced in Lebanon, where 50% of homes sold at or above the asking price.
Supply of single-family homes was significantly diminished at the conclusion of 2019. Specifically, there were just 84 homes actively listed for sale on December 31 of last year, compared to 148 on the same date in 2018, a 43% reduction.
Charts illustrating the above information can be found below, followed by a complete list of all thirty-two (32) properties that sold in Norwich in 2019.
A list of all thirty-two (32) properties that sold/closed in Norwich in 2019 is below.