Slow Going

Although we finally have started to see plateau and even slight decreases in the inventory of homes for sale in the Sacrament area the median asking price is falling faster than the number of homes. The number of homes for sale has decreased by about 100 in the past month and stood at 18,394 according to HousingTracker. This is a decrease of 444 homes from the inventory level at the beginning of the month. During this same time we have seen the median asking price fall from $375,000 to $364,500 or 2.8 percent.

The laws of supply and demand would dictate as we start to see inventory decline we should see a strengthening or increase in price. In this “new market” where we are working our way through the foreclosures and mortgage loan crisis all bets are off. Long term, the affordability and desirability of the Sacramento area will bring the real estate market back into equilibrium but for the rest of this year and the for most of next year the going will be rough on sellers.

Speaking of sellers, I do have some nice listings right now, check out my two listings in Rocklin, Willard Way and Tanus Circle.