Real-Estate-Market-Dynamics Tag

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July Sonoma County Market Stats, Happy Hour & End-Of Summer Fun!

Where did summer go?

We’re officially in that in-between season of summer fun and fall productivity. I don’t know about you, but I’d personally like a few more days of beach, pool and sunshine! But alas, the season is changing, and so is the Sonoma County housing market!

This year, real estate has seen some crazy twists and turns. From roller coaster interest rates, inventory shortages to fluctuating pricing, and a two-week MLS outage, what have we not seen?

Summer Fun & Things To Do This July in Sonoma County

Welcome to July Can you believe we’re already in the thick of summer in Sonoma County? I’m loving the blue skies and a healthy dose of sunshine, however the summer months can be a busy time.

Our calendars fill up fast with vacation plans, a plethora of new outdoor events to attend and additional time spent working on the house and in the garden.

It’s important to remember to slow down and literally “smell the roses.” Enjoy the longer days, savor a glass of wine and carve out time to reflect on our goals for the year.

How are we progressing? How do we feel? What’s working and what’s not?

If real estate is a goal that’s on your mind, you’re not alone! This year has been a change of pace for both buyers and sellers. Many have put their plans on hold as they wait out the interest rate hikes and rising home prices.

Keep reading below for more on how our housing market is performing and a list of ways to enjoy summer in Sonoma County!

Sonoma County Housing Market Breaks Records in 2020!

After the coronavirus pandemic sent Sonoma County homebuying into a tailspin last spring, the local housing market rebounded to have a banner year, posting a record annual median home price and the most houses and condos sold in seven years! As we embark on a new year (we can’t believe it’s already February), let’s take a look at some of the important real estate highlights from 2020 and what experts are forecasting for the spring season. [caption id="attachment_21108" align="aligncenter" width="408"] *Note: The median price for single family homes in Sonoma County is $700,000, slightly higher than $675,000 mentioned in this report which includes condominiums.[/caption]   What This Means For Buyers & Sellers: Low inventory, high buyer demand and increasing home prices have resulted in a seller’s market as we enter 2021. Historic low interest rates are drawing more buyers, especially millennials, into the marketplace. Buyers are flocking to Sonoma County from the Bay Area due to changing household needs and work-from-home flexibility. Despite home prices increasing, Sonoma County is still considered an affordable option compared to the Bay Area with a median single family home price of $700,000 vs $1.06 million.     What To Expect As We Look Ahead to Spring 2021...

Have we hit bottom in the Sonoma County real estate market cycle?

Actually the only way you know is when it has passed by. A few weeks ago an agent friend and I were visiting as I fed the horses one early spring evening. She was telling me of the difficulties she was having successfully securing a home for first time buyers. This a great agent with many years of experience who was working with entry level low income buyers in Sonoma County. They were looking for a home priced under $200,000 in the Santa Rosa city limits. They were pre-approved for FHA financing with the reputable lender who had referred them to my client. They are eligible for a $10,000 down payment assistance from the city of Santa Rosa which will subsidize their down payment. Their income and credit qualified them for an FHA (Federal Housing Administration) loan. Although they qualify for the federal government first time buyer $8,000 tax credit, that cash won't reach their pockets until after the sale has closed. This couple was competing in many multiple offer situations with all cash investor buyers or other first time buyers such as themselves. Many properties in their price range were in such poor condition that they would not meet the strict FHA property condition guidelines, and the repairs needed would have put them beyond the couple's limited budget. I don't know how many offers they wrote but they were not having luck. As my friend detailed the many days and hours she spent with this couple, she said it was seeming increasingly unlikely that they would make it into the market. I paused as I asked her, "Do you think we have hit the bottom here in Sonoma County?". She said yes--good properties are selling extremely fast and sometimes at over asking price. I had to agree. What had seemed a consistently active but still laid back market this winter was falling into high gear as the days got longer. As some of my buyer clients and I surmised in January and February, we felt that things would be much more competitive as spring arrived, and that seems to be true. In fact, the southern part of Sonoma County, in Petaluma was already scorching hot at Christmas and New Year's time. And that same scorch-ability (sp?) seemed to be tracking north along the 101 corridor. The...

Sonoma County Real Estate Pending Sales up 96% versus December 2006

There was no seasonal dip in newly opened escrows this December as brave (or desperate) buyers and investors sought a home for their cash, literally. Despite the horrendous news in the financial markets, the rate of sales actually increased and the number of new listings continued to decline over the most recent months. Maybe the 2 point drop in interest rates over the last three months has continued to spur buyer activity, and not just at the low end of the market (under $500K--or really under $350K). I just got my hands on all sorts of juicy data and four major price points so you will hear more from me as I analyze the results. The steadily increasing sales continues a trend lead by low-priced REO properties we first noted in February and March of 2008. Meanwhile, here is the quick overview. (Thanks to my broker, Rick Laws, of Coldwell Banker, who is a data geek. He pulls Sonoma County real estate sales data from the local multiple listings service (BAREIS) via the Brokermetrics service.) Since December 2006: Pending Sales are up 96% Closed Sales up 7% New Listings up 48% Take a look at the trend lines over two years, because that tells a partial story of our market in Sonoma County real estate. More to come. Stay tuned. ...