Friday, February 17, 2006

5th Month of Price Declines, Slowest January in 5 Years 6 Years

Saturday Update:
The Sacramento Bee has revised and extended their prior article. New post here

Dataquick has just released the January Sacramento numbers.
Sacbee article here:

In another sign of a cooling market, existing homes sales in the capital region declined last month to the lowest level in five years. Sales in January fell a combined 30 percent from the previous January in Sacramento, Placer, El Dorado and Yolo counties, setting the stage for a buyers' market, DataQuick Information Services reported Friday. It was the slowest January since 2001.

At the same time, the median sale price dropped for the fifth straight month in Sacramento County to $352,500, a 5.2 percent decline from a peak of $372,000 in August last year. But the median price is still up 10 percent from a year ago.


arizonadude said...

You mean I can get a good deal now!!! One of those places in west sac at $800000 looks real tempting at this point. All the signs of a slowdown are showing up. Increased inventory, increased days on market and increasing short term rates as well as increasing 10 year yield. Sounds like a real time to dive into this pig.

HighSierraGuy said...

Once again I am humbled in my attempt to "time" the market. I predicted CENTEX would run their "12 hour sale" next on March 4th.

Instead I read today: "Our 12-hour savings event was a huge success...[b]ecause the response was so great, and we were unable to spend quality time with everyone...[we] are extending the special incentives through Sunday".

Either they 1) didn't move the inventory they expected or 2) due to their staff lay-offs, they couldn't deal with the crush of 3 or 4 potential f-buyers all visiting at the same time.

This is really getting fun to watch....

fishtaco said...

Where is the centrex sale? How much off? Do you think the 100K or whatever is for incentives like pool, kitchen, etc or actual cash? Just curious.

ocrenter said...

check out the ongoing "debate" in the comment section of "Sacramento Real Estate Blog" listed on your link.

batsrightthrowsleft said...

What do you folks think about that 56-story, two-tower condo project underway at 4th and Capitol Mall? That's about twice as tall as the tallest existing building in downtown Sac.

Prices to start at ~$350k for studio/1bdrs, increasing to over $1 million for larger penthouse units. I understand there are also a couple of other highrise condo projects underway in downtown Sac.

Pretty amazing. It will be interesting to see how these highrise condo projects pan out.

Van Housing Blogger said...

" check out the ongoing "debate" in the comment section of "Sacramento Real Estate Blog" listed on your link."

That is HILARIOUS. That guy doesn't recognize the sound of the freight train bearing down on him. It's like he's going to get down and tie himself on the tracks he's so not worried. Smush.

ocrenter said...

I especially liked the part when he was trying to defend owning negative income properties by stating the use of "other people's money" yet at the same time states that's not an investment he would recommend.

and renting for half the cost of owning is not using "other people's money?"

the best part is he turned off the comment section to prevent further discussion on the matter.

Van Housing Blogger said...

Yeah, that guy is into a WORLD of surprises in 2006-08!!!

There are hundreds if not thousands like him in Vancouver, but our correction has not yet even started.

Sigh - I've got inventory envy on you California guys.