How quickly fortunes have changed for home buyers and sellers. It seems like just yesterday that we had a boundless number of properties on the market and a shortage of buyers. This year we have had a complete reversal with few homes to choose from and an immense number of home buyers. This has created a hectic situation for prospects looking to purchase a property and ecstasy for those fortunate homeowners that have taken advantage of the circumstances. Local Davis, California home prices have jumped by over 15% through the first couple of months this year compared to last years first couple of months.
Real estate is cyclical and local but the entire state of California has had a revival of home prices. Most states are reporting an upsurge in property values and forecasters are expecting prices to increase in every state by the end of 2013. The bigger questions should be, is this sellers market here to stay? Will the lack of inventory continue through the spring and summer? Might the continuing increase in mortgage rates derail any of these buyers enthusiasm or ability to purchase a home? These are questions that can only be answered over time. Let’s take a look at real estate data for Davis comparing last year and this year.
Through March 15th, we have had 63 sold properties. The average sales price is $497,566 with a price per square foot of $264. These homes averaged 66 days on the market. The same period in 2012 saw 62 sold properties that averaged $432,524 sales price. The price per square foot was $252 and it took those homes 89 days on the market. Those increases from last year to this year are fairly typical of the improvement real estate has experienced regionally and statewide.
We presently have 64 homes on the market with an average listed price $549,681. The average square footage of those homes are 1,898. The price per sq ft is $294 and they averaged 57 days on the market. This is less than a two month supply of homes. A five month supply would define a normal market. There are 58 pending sales with an average listed price of $493,328. The average square footage of these homes are 1,813. The price per sq ft is $271 and they averaged only 33 days on the market. As long as the inventory stays low and buyers continue bidding on homes, the current sellers market might be present for the forseeable future. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my informative blogs and easy access to view local area homes for sale in Davis, California and the surrounding communities.