The Real Estate market overall, is in a good position, according to BAREIS MLS, a service that provides real estate information about properties on and off the market. In a cumulative assessment, the average amount of homes for sale in comparison to the same quarter last year was down approximately 35.5 %. The amount of homes for sale is down, however, the cumulative amount of homes sold is up by 20% versus the same quarter one year ago.
COURTESY // American Advisors Group
The average price per square foot was higher in comparison to last year at $527 per square foot. , while the months of inventory is closed, sales were down 49.3% while the median sold price increased about 18% to around $650,000 by the end of March 2021.
Inventory is low, prices are high, interest rates on homes are down, is it a good time to buy or to sell? For the real estate investor in Sonoma County who might be looking, it is fair to say right now is a good time for both. For Sellers who want to list their property and put it on the market, the data shows that properties are spending 25% less time on the market since the same quarter last year. They are selling for more, the average sold price increased 23.5% from last year and the average active price also increased 38% from the same time last year.
For the hopeful investor, interest rates are at all-time lows, so even though they might be spending more for the property depending on their loan, that could be made up in the long term with lower interest payments. For the Buyer, if they take on a property that is outside of their budget and the interest increases over time, they might be in over their head.
The good news is that interest rates for homes are low and there are incentives to buy property the biggest of which is low-interest rates, the FHA, or Federal Housing Association, also offers assistance for first-time buyers and there are plenty of financing options available. So anyone interested in buying a property should first get pre-qualified. For listers selling their property, there is an incentive because there is a demand for more properties on the market. Prices are up, the market value is up, the property is likely to be sold quickly.
The real estate in Sonoma County is likely to grow as it is a desirable area, as time goes on, real estate value may increase despite the frequent disasters. Historically, real estate was thought to be a recession proof industry and the only market that perpetually grew until the 2008-2009 crash. After the market crashed, it is now known the market goes through natural increases and decreases, it is not immune to a crash. Even though the real estate market has crashed in the past 10 years, it has managed to maintain and increase in value since. One thing is for sure, people are always going to need a place to live and the Sonoma County market is good.
