Sacramento County Market Update – July 2018
#TuesadyTrend
Sacramento County is still going strong…
July 2018 was a Seller’s market!
Let’s take a look at what July 2018 brought to Sacramento County’s Real Estate market! As always, all of these figures and images come directly from MLS and offer a comparison to what the market looked like this time last year.
The number of for sale listings was up 21.6% from one year earlier and up 7.4% from the previous month. The number of sold listings decreased 5.2% year over year and decreased 10.8% month over month. The number of under contract listings was up 3.6% compared to previous month and up 8% compared to previous year. The Months of Inventory based on Closed Sales is 1.8, up 29.2% from the previous year.
The Average Sold Price per Square Footage was up 2.6% compared to previous month and up 7.7% compared to last year. The Median Sold Price decreased by 1.3% from last month. The Average Sold Price also decreased by 1.2% from last month. Based on the 6 month trend, the Average Sold Price trend is “Neutral” and the Median Sold Price trend is “Neutral”.
The Average Days on Market showed a neutral trend, an increase of 16.7% compared to previous year. The ratio of Sold Price vs. Original List Price is 98%, a decrease of 2% compared to previous year.
It is a Seller’s Market
Property Sales (Sold)
July property sales were 1553, down 5.2% from 1638 in July of 2017 and 10.8%lower than the 1741 sales last month.
Current Inventory (For Sale)
Versus last year, the total number of properties available this month is higher by 486 units of 21.6%. This year’s bigger inventory means that buyers who waited to buy may have bigger selection to choose from. The number of current inventory is up 7.4% compared to the previous month.
Property Under Contract (Pended)
There was an increase of 3.6% in the pended properties in July, with 1705 properties versus 1646 last month. This month’s pended property sales were 8% higher than at this time last year.
The Average Sold Price per Square Footage is Appreciating*
The Average Sold Price per Square Footage is a great indicator for the direction of property values. Since Median Sold Price and Average Sold Price can be impacted by the ‘mix’ of high or low end properties in the market, the Average Sold Price per Square Footage is a more normalized indicator on the direction of property values. The July 2018 Average Sold Price per Square Footage of $239 was up 2.6% from $233 last month and up 7.7% from $222 in July of last year.
The Days on Market Shows Neutral Trend*
The average Days on Market (DOM) shows how many days the average property is on the market before it sells. An upward trend in DOM trends to indicate a move towards more of a Buyer’s market, a downward trend indicates a
move towards more of a Seller’s market. The DOM for July 2018 was 21, down 4.5% from 22 days last month and up 16.7% from 18 days in July of last year.
The Sold/Original List Price Ratio Remains Steady**
The Sold Price vs. Original List Price reveals the average amount that sellers are agreeing to come down from their original list price. The lower the ratio is below 100% the more of a Buyer’s market exists, a ratio at or above 100% indicates more of a Seller’s market. This month Sold Price vs. Original List Price of 98% is down 1% % from last month and down from 2% % in July of last year.
The Average For Sale Price is Neutral*
The Average For Sale Price in July was $503,000, up 0.8% from $499,000 in July of 2017 and down 0.4% from $505,000 last month.
The Average Sold Price is Neutral*
The Average Sold Price in July was $407,000, up 5.7% from $385,000 in July of 2017 and down 1.2% from $412,000 last month.
The Median Sold Price is Neutral*
The Median Sold Price in July was $370,000, up 4.8% from $353,000 in July of 2017 and down 1.3% from $375,000 last month.
It is a Seller’s Market
A comparatively lower Months of Inventory is more beneficial for sellers while a
higher months of inventory is better for buyers.
Buyer’s market: more than 6 months of inventory
Seller’s market: less than 3 months of inventory
Neutral market: 3 – 6 months of inventory
Months of Inventory based on Closed Sales
The July 2018 Months of Inventory based on Closed Sales of 1.8 was increased by 29.2% compared to last year and up 20.5% compared to last month. July 2018 is Seller’s market.
Months of Inventory based on Pended Sales
The July 2018 Months of Inventory based on Pended Sales of 1.6 was increased by 14.1% compared to last year and up 6.5% compared to last month. July 2018 is Seller’s market.
