Coincidence or an upward trend? For the second month in a row we are seeing improvements in our local Tri-Valley market for single family home sales.
In May we saw a very healthy surge in the number of homes going under contract, in fact almost a 20% jump over the previous month. It’s encouraging this past month to see an equal number of homes also go under contract (306 versus 304 in May). This represents a 49% increase over this time last year!
So what about prices?
The median sales price is also up for the 2nd month in a row, from $620,000 to $651,000 for June (down 3% compared to same time last year).
We’ve also seen a slight drop in the average days on the market, dropping to 35 days from 40 days last month (same time last year was 26 days).
Another important measure of our market is the number of months of supply of homes available for sale. This is the time it would take for all the homes available for sale to sell assuming no new homes were to come on the market (and assuming realistic pricing). A year ago, we had 3.5 months of supply, last month it has dropped to a little over 2 months, slightly improved again over from May.
To put this in perspective, the average nationally is in excess of 9 months of supply and in some parts of the US it is 18+ months of supply. The Tri-Valley is and will continue to be a great place to own real estate.
We hope this remains a continuing trend and changes in government policies and laws don’t negatively impact this.
