Just when it seems that values and the rate at which homes are selling cannot possibly go much higher, the latest statistics come out–and they’re UP again! There are a number of factors coming into play that contribute to this. Read on and call us if you have any questions!
California single-family homes sold in an average of 22.4 days in June, while homes in the nine-county Bay Area sold in an average of 20.4 days.
- The median sales price in the Bay Area rose to $908,740 in June, a year-over-year increase of 7.9 percent.
- Home prices rose from June 2016 in all nine local counties. San Francisco, San Mateo, Marin, and Santa Clara counties are the only ones in California where the median sales price is higher than $1 million.
Stubbornly low inventory conditions motivated Golden State homebuyers to act quickly in June, while prices continued to rise statewide and in the Bay Area.
The latest home sales and price report from the California Association of Realtors says that single-family homes in the state sold in an average of 22.4 days in June, the fastest pace of sales recorded since May 2004. California home prices remain at their highest level in a decade, climbing to $555,150, an annual gain of 7.0 percent. According to CAR President Geoff McIntosh, the state’s inventory drought is the primary factor fueling the brisk pace of sales and price appreciation.
“With active listings 13.5 percent lower than last June, we’ve now experienced a full two years in which active listings have fallen on a year-over-year basis and the lowest inventory level this year,” he said. “Would-be sellers aren’t listing their homes as many of them would also face an inventory challenge if they were to turn around and buy another property.”
California’s monthly supply of inventory of single-family homes fell to 2.7 in June, down on both a monthly and yearly basis. The nine-county Bay Area continues to suffer from the state’s fewest number of homes for sale, with the MSI declining to 1.8. San Mateo, Santa Clara, Alameda, San Francisco, and Contra Costa counties have California’s most severe inventory shortages, all ending June with less than a two-month supply of homes on the market.
A limited number of homes on the market continues to drive Bay Area appreciation, with the median sales price for a single-family home at $908,740 in June, a year-over-year gain of 7.9 percent. Home prices rose in all nine local counties from June 2016, ranging from 12.6 percent in Santa Clara County to 3.2 percent in Sonoma County. Five local counties have the state’s most expensive home prices: San Francisco ($1,469,000), San Mateo ($1,433,750), Marin ($1,272,500), Santa Clara ($1,182,500), and Alameda ($900,000).
If you’re a Buyer, these numbers show why you need to get involved and the sooner the better to get into a home sooner than later to avoid as much of the value increase as possible as that increase may affect your purchase price.
On the other hand, if you’re a Seller, you need to make certain that your home is as market-ready as possible to take the best advantage of these rising values and the effects they are having on prices and how much finds its way into your pocket. Need repairs? Wondering about staging? Choose a Realtor? We can help with all of it. Give us a call–you’ll benefit from our over 50 years of collective experience in the Marin market.
You know the numbers–Peter: (415) 279-6466; Jane: (415) 531-4091. We’d love to help you!