Today I’m looking back at the freshest December 2019 stats to help you gauge where the market is.
We just finished a phenomenal year for real estate and are already marching along through 2020. Right now, we’re seeing the lowest inventory we’ve ever had in the Sacramento, Placer, and El Dorado counties. Nationally, we’re seeing the lowest inventory ever. If you’re a seller, this means it’s a great time to put your home on the market to generate maximum activity and exposure.
Last month, there were 2,350 homes for sale, with 1,780 homes actually closing. The average price per square foot for December was $242. Also notable is that sellers were getting 96% of their home’s listed sales price and selling in 46 days on average. Here at the Tom Daves Team, however, we’re averaging anywhere from 25 to 30 days—the market is definitely hot right now!
Another end-of-year stat to mark is that the average home was listed at $627,000, while the average sold home sold at $460,000. 2019 wrapped up with 1.3 months of inventory, making ours a seller’s market (anything below three months’ worth is a seller’s market).
Things are looking solid for both buyers and sellers; interest rates are the lowest they’ve been in a decade at approximately 3.5%, and inventory will continue to be tight. Here are the three things that cause our market to shift:
- A change in interest rates
- Unemployment (very low right now)
- Affordability (i.e., if prices rise above what wages can support)