December 2017 Sacramento Housing Report Shows Steady Prices
Welcome to the December 2017 Sacramento Housing Report. The first thing that strikes me about the numbers for last month is the fact the pending sales have increased over the same month a year ago. The pending sales for this December are up by 14% over December of last year. This indicates a much stronger demand at the end of the year than the demand that existed a year ago.
The second thing I noticed is inventory dropped in December by 24% over November. But most of that is people saying, what the heck, I want to spend Thanksgiving and Christmas without people traipsing through my house. It’s seasonal and typically more people take their homes off the market over the holidays.
Our inventory is still very low in Sacramento, per the December 2017 Sacramento Housing Report. There was an uptick of inventory in the fall but by December all of that pretty much vanished. Demand seems to remain constant. I keep wondering whether buyers will back off as interest rates rise, but I suspect they are doing the opposite. If I were a couple of first-time home buyers right now, I’d be worried about being priced out of the marketplace in the upcoming year. There is no slowdown in sight for appreciation. Prices keep climbing.
It’s a double whammy because interest rates are increasing and prices are increasing. However it doesn’t mean the market will fall because demand is so strong. If we had tons of inventory and very little demand, we’d be singing a different tune but that is not what’s happening in the December 2017 Sacramento Housing Report.
All I can say is 2018 will be an interesting year. Whatever happens, I’m prepared to serve my clients equally well if not better than last year. If you’re interested in more information about the Sacramento real estate market, call Elizabeth Weintraub at 916.233.6759 and put 44 years of experience to work for you.