Wednesday, October 12, 2016
I thought it was an odd day when I got 2 calls from sellers (not my clients) that wanted my opinion why their house isn't selling. I took the time to dig into the situations. One property was in Old Roseville, and the other was in South Land Park, Sacramento.
My finding is rather simple, that demand has dropped. In both cases the properties were priced where their comparable properties have sold for. One of my listing in Roseville right now is priced at $369,000, very closely priced to one of the callers properties and we both have had 4 showings in 1 month. This information was helpful for me as well to see why my listing of 2200 sqft for 369K hasn't gone into contract yet. It's the lowest price property in Roseville with 2000+ sqft.
The graph below shows the tend over the last year in Placer county. It's a pretty predictable cycle. Slows down in the winter and picks up in spring/summer. I think we're going to see a bigger dip in the pending this Oct compared to last year. It could just be an anomaly, could be we're close to election time or simply a lack of buyers. We're not seeing low ball offers. That would be an indication of the market pulling back.
Overall, we're fine! Rates are good, people have to qualify for loans now. As far as a recession, we're not out of the woods yet, but hopefully there is light at the end of the tunnel.
I'll update when the Oct date comes out!
Let me know if you have any real estate questions!
-Chad @ Re/Max