Late-Arriving Spring Market: Recovery Momentum Builds
The Market
Unit Volume and Dollar Volume Performance
Unit Volume and Dollar Volume of sales are still down double digits over the last year across all markets.
- But Unit Volume continues to improve, now being down about 21% versus last year.
- Dollar Volume is also rising in lockstep being down only about 16% versus last year.
- Both metrics have improved significantly since the height of the lockdown, trimming year over year losses by nearly 50%.
Active Inventory Trends
Active Inventory continues to rise.
- As we discussed last month, our biggest spike in inventory comes during our Spring Market.
- However, that was when the Pandemic and Shelter in Place orders first hit us.
- We continue to gain ground on Active Listings with all markets nearing only single-digit percentage decreases.
- That means we are seeing far more homes come to market now than we would usually see this time of year.
- So it appears that our Spring Market is finally here... just a few months late.
Median Price Growth
The Median Price continues to increase slightly.
- Our entire market is up 5% in Median Price over last year.
- Piedmont and Oakland have had the strongest growth at 19% and 10% respectively, while the rest of the market remains on a par with last year.
What about my Neighborhood?
In summary, we remain in a very strong Seller's market with very high demand pursuing too few opportunities. Some of you may continue to wonder when prices will stabilize or decline. My answer is, not soon. The world of Real Estate is fundamentally different today than it was in 2007. Our Current Economic Recession has been caused by a health crisis not an unhealthy and poorly regulated Mortgage industry. Unlike 2007, Residential Real Estate will continue to be a bright spot in our economy as our Market continues to gain momentum in a measured way in this late-to-arrive Spring Market.
Stay safe and healthy.
