Real Estate Update
ó In October 2014, the median price decreased from $275,000 to $272,000. The median is 7.3% higher than one year ago.
ó The available housing inventory has been slowly increasing each month and is up to 2.5 months. I expect to see that number slowly increase more as we continue through the fall/winter. A “normal” or “balanced market” is around 4 months.
ó The homes that are priced right, show well and have a high quality marketing plan are still getting sold fairly quick. However, the properties that are over priced are sitting with little activity until the list price is in line with the true market value. The overpriced properties are having price reductions to try and get more attention. The current market is the most “normal/balanced” market we have seen in the Sacramento area in over 10 years.
ó High Demand and Low Supply/Inventory had driven the market prices up in 2013. The market is finally at a balance and seller’s power of the past 2 years is now equal with the buyers due to the increased inventory of homes for sale.