Week of September 17, 2018

Absorption rate change

Year-over-year change in absorption rate for July 2018

Year-over-year change in absorption rate for July 2018
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State Year-over-year change
in absorption rate
Absorption rate
for July 2018
Absorption rate
for July 2017
AL 6.5% 23.0% 21.6%
AZ 7.1% 39.4% 36.8%
CA -12.6% 34.0% 38.9%
CO 2.3% 54.1% 52.9%
CT 1.2% 16.3% 16.1%
DC -0.7% 42.4% 42.7%
DE 12.7% 24.0% 21.3%
FL -4.3% 24.3% 25.4%
GA 5.7% 29.8% 28.2%
HI -4.2% 27.2% 28.4%
IA -3.0% 31.8% 32.8%
ID 52.6% 59.2% 38.8%
IL 3.6% 25.7% 24.8%
IN 23.3% 40.8% 33.1%
KS 13.0% 53.8% 47.6%
KY 5.9% 37.9% 35.8%
LA -11.7% 19.7% 22.3%
MA 9.2% 33.3% 30.5%
ME 19.4% 30.8% 25.8%
MI 13.9% 36.0% 31.6%
MN 6.9% 41.8% 39.1%
MO 32.3% 37.3% 28.2%
MT -13.7% 22.0% 25.5%
NC 8.0% 29.8% 27.6%
NH -8.2% 25.6% 27.9%
NJ 7.4% 20.2% 18.8%
NV 24.0% 53.2% 42.9%
NY 5.4% 17.5% 16.6%
OH 22.0% 38.2% 31.3%
OK -0.4% 26.5% 26.6%
OR 2.0% 41.0% 40.2%
PA 19.2% 31.6% 26.5%
RI -11.2% 23.7% 26.7%
SC 16.0% 23.9% 20.6%
SD 11.3% 29.5% 26.5%
TN 13.0% 21.8% 19.3%
TX 8.1% 29.4% 27.2%
VA 0.7% 29.2% 29.0%
VT -3.4% 14.1% 14.6%
WA -1.5% 53.8% 54.6%
WI -5.3% 28.7% 30.3%

This map shows the fluctuation of the absorption rate per state from July 2017 to July 2018 and illustrates some regional trends as well. Absorption rates improved in most states in July 2018, but 13 states saw negative year-over-year changes in absorption rate: Oklahoma, District of Columbia, Washington, Iowa, Vermont, Hawaii, Florida, Wisconsin, New Hampshire, Rhode Island, Louisiana, California and Montana.

Idaho, Missouri and Nevada led in year-over-year changes and were all at 24% or higher. Idaho's rate increased from 38.8% to 59.2%, indicating that its market was in high demand.

Per the data in the table, the states with the highest absorption rates in July 2018 were Idaho, Colorado, Kansas, Washington and Nevada, which all had rates of more than 50%. This trend indicates that there was less than two months' supply of homes, and the supply of homes may shrink rapidly in these markets.

In most states, absorption rates were greater than 20%, which suggests that these states were seller's markets in which homes were sold quickly.1

1Source data: CoreLogic®
Data date: 08/25/2018

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