Greater Sacramento Home Sales Cool
Greater Sacramento appears to have started the normal seasonal slowdown of resale homes just a little early. The 2,221 new open escrows reported in September marked a seven percent decrease compared to the same month last year. New opens for the entire third quarter also reflected a seven percent decrease versus 2017. The tempered sales rate resulted in 5,433 homes left available for sale at month-end, a notable twenty percent increase over last year at this time. This market information is presented by Lyon Real Estate based upon data provided by Trendgraphix Inc., a Sacramento-based reporting company.
Price stability however, after months of upward pressure, continued with a pattern similar to last year. The average closed sales price of $457,000 and median of $411,000 for the third quarter were both less than ten dollars lower than second quarter postings. These key metrics still reflect an approximate six percent increase year-over-year. Closed escrows for the third quarter were on the market an average of 31 days versus 28 last year and received approximately 97 percent of original asking price versus 98.
The upper-end market, homes priced above $750,000, remained a bright spot throughout the third quarter. While the inventory level ended September at 22 percent higher than last year, 523 new open sales for the quarter were 10 percent greater than last year. The sold and closed properties total for the third quarter were a remarkable 550, up 26 percent over 2017. This positive lift in new open escrows should produce elevated closed sale results in the upper-end over the coming months.
“Overall sales in the Greater Sacramento region appear to have softened,” says Pat Shea, president of Lyon Real Estate. “However, from a historical perspective, our market remains very strong. This is clearly evident, as based upon the current rate of sales, there remains approximately 2.5 months of available inventory. A balanced market is typically considered four to six months.”
“Normal seasonality and recent bumps in mortgage interest rates could lead to lower inventory and sales results in the fourth quarter,” added Shea. “It will be a brief respite though. Our strong local economy, steady job market growth and continued San Francisco Bay Area migration will maintain positive upward pressure on our housing market moving forward.”
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.