Home prices in Placer County reached their most recent peak in April/May of 2022.
Prices then fell between 17% and 19% from that point until January of 2023.
Prices have changed direction again and have risen between January and May by 10% and 13%.
Why have prices risen, while interest rates have remained higher?
The primary reason is that many prospective home sellers have decided to sit on the sidelines and not list their homes.
Per a recent Inman article, 62% of homeowners have interest rates below 4%.
https://www.inman.com/2023/06/14/nearly-92-of-all-us-homeowners-now-have-a-mortgage-rate-below-6/
With rates hovering between 6 and 6.5% recently, many home sellers who will become home buyers themselves have decided it makes more sense to stay put.
Whether this trend will continue is unknown.
For the time being, we have 35% fewer homes for sale than last year, while pending sales are only down 9.5%.
Half of the homes sold in May, were sold with multiple offers.
60% of homes sold in May were sold for at or above their listing price.
2/3 of the homes sold in May were sold within 30 days of being listed.
We are now within 7-9% of the peak prices we saw last Spring.
If you would like the help of an agent who remains very informed and active in the field, who can help you succeed in getting an offer accepted in a competitive market and help you take advantage of the market as a seller, or if you just have a question, let me know.
I’m always happy to help ????
Posted by Patrick Hake on
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