We have seen some large changes in the real estate market here in Placer County since the beginning of the year.
As of today, we have 597 homes for sale and 447 homes pending sale.
Those two numbers combined, leave us with 1. 3 months of inventory, which is down considerably from the 3 months of inventory that we averaged during the 4th quarter of 2022.
This is due to multiple factors, including, but not limited to:
1) Interest rates peaked in October and trending lower since then.
2) Sellers of the existing listing inventory were willing to price at or reduce their price to the market rate and then were willing to negotiate for discounts and closing cost credits.
3) Buyer demand building up during the second half of the year before prices lowered.
4) 30% fewer listings being added to the market in January of this year compared to January of 2022.
Basically, demand has increased while supply has remained low and gotten lower.
Whether this trend will continue, no one knows.
If it does continue, the next step will be for prices to level off and stop falling. If it continues for an extended period, we may even see prices start to climb again.
if you have any questions, or if there is anything at all I can help you with, let me know.
I love helping people solve their real estate related problems.
Posted by Patrick Hake on
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