We haven’t shown this chart in a while. It’s quite striking. Look at the price increases.
There’s lots of good data visualized here.
Absorption Rate can be thought of as Inventory on Hand, sort of. It’s generally thought that having about 6 months of inventory is a normal market, and as you can clearly see, we are not anywhere near normal at just over 3 months. Low housing inventory in the Shasta County area is pushing prices up.
Another interesting chart is the Sold to List ratio. Many buyers are surprised to learn that houses generally sell near asking price. Many want to lowball at 10% below list, or even more. Not so much anymore!
These charts include all the local MLS which lately means a lot homes outside just Shasta County, so this is perhaps best thought of as a regional overview.
Information is deemed to be reliable, but is not guaranteed. © 2013 MLS and FBS.
Prepared by Skip Murphy on Wednesday, June 19, 2013 6:59 AM
Here’s the chart. We had a great month, and it looks like everyone else did too.
We were a little surprised to see that inventory remains so low. It felt like we were starting to see more homes on the market, which is true. We had more listings. but the increase in sales gobbled them up, so levels remain very low. Here are the numbers behind the chart:
Regular readers know that we use home sales data from the greater Redding area, not just all of Shasta County. So you often see different numbers posted elsewhere for the month. These are the statistics most relevant to our burokerage, home sales roughly from Shingletown to Whiskeytown, and Lakehead to Lake California.
If you have been thinking of selling, it’s a great opportunity. There are buyers looking. And mortgage interest rates have only just started to creep upward, so demand remains very strong.
Zillow does a good job of gathering statistical data about home sales. Here’s their 5 year chart of Redding area home sales. The graph tells the tale. Up 10.9% year over year.
5 years of redding home sales. Click on the thumbnail image to go their website
Looks like things are hopping in Shasta Lake City! We recall when there were an average of 60 homes for sale there on any given day. Today there are only 15 homes for sale in Shasta Lake City
ranging from $79K to $319K for a really nice Brand New home in great neighborhood.
Yup. We’ve certainly been busy lately! The headline says it all, in case you don’t subscribe. Although you should subscribe.
Redding Record Searchlight headline news May 23, 2013.
Have you been wondering if it is a good time to sell yet? It is.
If you’re a buyer, then you are likely already feeling the squeeze from other buyers lining up to put offers in too. And so here we are.
If you want to sell your Redding area home and keep more of your money
, you have a serious new choice to consider. Click below.
By one measure, as reported by the National Association of Homebuilders. Of course, Redding began from a very low point, so ‘most improved’ is something of a relative term. Still, we definitely feel it out here in the streets, where the tight housing market is proving challenging for home buyers. The local housing marketplace has begun to dig itself out, and things are looking brighter every day.
The Record Searchlight had this headline today. Fewer Homes, Bigger Battles. It’s not news to readers here. Especially in the sub $200K range, the competition can be fierce.
Click on the “thumbnail” (look, there’s my thumbnail!) image for more. If you are thinking of buying, we can help you get that edge on the pack you may need. If you’ve been waiting to sell, this shortage of inventory gives you a lot more leverage than you’ve had in years.
Here’s a chart we like to run. The bars show housing inventory. Local home sales jumped up by about 24 homes for the month, for a total of 187.
we are still constrained by lack of inventory. If you know anyone selling, there is high demand for homes in and around Redding and Shasta County. Sellers have much better leverage than any time in recent memory.
You may see other numbers published elsewhere. This is simply our own brokerage look at home sales and inventory extending from about Shingletown to Whiskeytown, and from Lakehead to Lake California, which is actually in Tehama County. This is our general area of interest and where most of the real estate transactions take place in our MLS.
Still looking for a bottom in housing market prices? You may have missed it.
Of course, one never knows the market bottom except by seeing it in the perfect rear view mirror of 20-20 hindsight. Is this truly the bottom?
For sure, prices are up, and inventory is way, way down. If the laws of supply and demand haven’t been completely manipulated out of existence by housing finance policy, then prices should naturally follow. So here we are. Click on either thumbnail image to go to Zillow for more..
Here’s a chart of localized home sales for last month. Numbers down slightly. We don’t have a large market, so it’s hard to see trends month to month because the statistical sample is too small to be significant. Still, we like to look. This is from the set of home sales consisting roughly of Whiskeytown to Shingletown, and Lake California to Lakehead.
Low inventory is still having the biggest impact on local sales. We have buyers out looking. But there used to be a lot more to choose from.