Thursday, March 02, 2006

Realty Times: Does Sacramento "Have a Fighting Chance?"

You know things are bad for Sacramento when Realty Times places this article on their front page. Are local agents sending out an SOS?

Sacramento has been reported as one of the fastest growing areas in the state of California. But with homes sales on the decline, does this area have a fighting chance?

The National Association of Realtors released this week a report that notes, "Total existing-home sales in the West declined 3.5 percent to a pace of 1.37 million in January, and were 14.4 percent below January 2005. The median existing-home price in the West was $310,000, up 11.5 percent from a year ago." A rise in inventory (now four to six months worth) has haulted the once rapid price appreciation seen early last year. The state of California has seen the number of homes sold statewide drop 27 percent from December (but only 9.5 percent from last January).

Sure, talk about the West & California but conveniently skip over even worse statistics for the Sacramento region. How useful for the consumer. So does the Sacramento housing market have a fighting chance? Of course, says Realty Times:
Despite these factors, Sacramento, California, has been named one the Top 10 most desirable places to live in the United States.
Wow, that convinced me!
Lower priced homes are still selling quickly, but homes over the $450,000 mark are seeing adjustments in pricing. This makes for buyer advantage.
Adjustments in pricing? Translation for normal folks: PRICE DROPS. How low does it have to go for a little straight talk?

2 comments:

Happy Renter said...

"Lower priced homes are still selling quickly, but homes over the $450,000 mark are seeing adjustments in pricing."

That number keeps getting lower and lower. 6 months ago it was the million dollar market that was week a ready for adjustments now it's the $450,000 range.

Anonymous said...

450k?

Try all homes at all levels.