ó In April 2013, the median price increased to $222,000. That is 31.4% higher than one year ago!!!
ó 37% of the purchases in the month were ALL CASH. First Time Buyers are having a tough time competing with investors in the lower price ranges of $250,000 and below.
ó The available housing inventory is only 0.9 months. A “normal” or “balanced market” is between 4 to 5 months. Sacramento is currently in an extreme Sellers market.
ó The homes that are priced right, show well and have a high quality marketing plan are receiving multiple offers, above list price within a few days. Usually 5 to 10 offers on a single property.
ó High Demand and Low Supply/Inventory should continue to drive the market prices up as we continue through 2013, most likely at a little slower pace than we saw in 2012. 2012 was a market correction to homes getting under valued in 2011 and buyers reacting to the fact that “the bottom was yesterday.” This seller’s market should continue through the spring and summer. After that, it will be interesting to see how the market reacts heading into the winter.
Due to supply being extremely high and demand very low,
values have risen 31.4% in Sacramento County in 1 year.
Sellers are quickly finding out:
ó They have the upper hand right now
ó Multiple offers on most properties with them selling above list price
ó Buyers are even willing to bring extra cash to complete the sale if their appraisal comes in low
ó Sellers have equity for the first time in many years
ó Finally able to “move-up” into a bigger and better home before interest rates and prices go up more