New Listings Offer Some Relief For Sacramento Area Home Buyers
The region’s average sales price reaches $460,000 for April.
The Greater Sacramento Region recently enjoyed its best two months of new listing inventory since July and August of last year. In March, 3,253 homes were placed on the market, followed by another 3,560 in April. The hot pace of new sales also persisted however, leaving only 3,577 homes active and available for sale at month-end. The inventory level reflected a 13 percent increase over April of 2017 but still remains 20 percent lower than last year’s peak in September. This market information was provided by Trendgraphix Inc., a Sacramento-based reporting company, and reported by Lyon Real Estate.
Buyer demand through new pending sales maintained significant pressure on the market with 2,917 open escrows in April. This number was 12 percent greater than April of 2017 and marked the most for any one month since May of last year. The increased pending sales data also followed a noteworthy 2,632 open escrow count for March. These metrics produced the third consecutive month of upward price pressure on closed sales, culminating with a $460,000 average sales price for the month of April. Average sales prices over the past few months have been tracking approximately 11 percent higher than last year at this time and have not reached these levels since early 2007.
Entry level housing remains exceptionally scarce, with less than one month of inventory – 1,210 properties – available throughout the region below $400,000 by month-end. Ironically, this is 10 percent higher than last year at this time, yet 23 percent less than April of 2016. The rapid rate of sales once again made a significant impact as 1,357 homes were placed under contract in this price range during the month even though 1,510 new listings hit the market.
The move-up market has pretty much settled into the $400,000 to $750,000 price range due to recently elevated median and average sales prices. There were 1,646 listings available at month end, yet only 1.2 months of supply based upon the rapid rate of new pending sales.
Inventory in the upper-end, specifically $750,000 and above, experienced two consecutive months of more than 350 new listings. This seasonal listing activity jump left a healthier 721 homes available for sale in the price range on April 30th. New open escrows however, reached 208 units in March and 243 for April. Both qualified as the highest months since July of 2005.
“Our protracted inventory struggle and relentless buyer demand continue to leverage upward pressure on all price points,” says Pat Shea, president of Lyon Real Estate. “The average sales price fluctuated between $420,000 and $437,000 for eight straight months ending February, and now has abruptly risen to $460,000. News outlets regularly report that San Francisco Bay area residents and others throughout the state are eager to relocate to Greater Sacramento. Locals should buy and move-up sellers should act, while interest rates and relative affordability provide the opportunity.”
About TrendGraphix, Inc.
TrendGraphix, Inc. is a real estate reporting company based in Sacramento that uses local Multiple Listing Service (MLS) data to provide highly-visual market statistical graphs to real estate brokers, agents, and MLS/Realtor associations across the country. TrendGraphix’s programs are currently used by tens of thousands of agents in more than 250 brokerages in 48 states. For more information about TrendGraphix, visit www.trendgraphix.com.