Pacific Coast - Intero Real Estate Market Report - June 2016

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Buy.Sell.Stay. June 2016 Market Report Pacific Coast Carmel, Monterey, Pebble Beach, Santa Cruz

Š 2016 Intero Real Estate Services, Inc., a Berkshire Hathaway Affiliate and wholly owned subsidiary of HomeServices of America, Inc. All rights reserve. The logo is a registered trademark of Intero Real Estate Services, Inc. Information deemed reliable but not guaranteed. This is not intended as a solicitation if you are listed with another broker. Data Provided by Trendgraphix July 2016


Executive Insights The Summer Heat is Turning Up Summer is full of images of friends, family and fun. In regards to the real estate market, summer is traditionally the time of year that sees a huge level of activity, especially in the Bay Area. In June 2016, this tradition of increased summer housing activity continued and is showing no sign of cooling off any time soon. Picking up where the month of May left off, for-sale listings were up in every part of the Bay Area except San Francisco. In most areas, listings were up double-digit percentages as sellers were putting their houses on the market in droves. These increases are considerably lower than we saw in April when the summer-selling season was ramping up, but they’re significantly more than we saw last month. Even with the increased level of listings, we’re still smack dab in the middle of a seller’s market. June saw the most properties sold in the last three months. In fact there was 24.15% more Bay Area homes sold in June (2760) then there was in April (2223). This is keeping prices high and drying up inventory very quickly. It will be interesting to see if this trend continues into the later summer months of July and August. Even with this seller’s market producing closings at a steady clip, we did see an interesting move last month in relation to the days on market (DOM) for sellers. We saw a neutral trend in the DOM for six of the nine regions of the Bay Area with several area’s DOM up by 28-37% month-over-month. Now these numbers may be inflated due to an ultra-competitive market in May, but it’s something we’ll be keeping an eye on as listings continue to increase across the region. So June showed us that sellers are still in control of Bay Area real estate. A strong job market and more buyers than listings is keeping demand high and still getting sellers multiple offers at over asking price. Will this trend continue? More than likely it will, at least through the end of summer. Beyond that will be interesting as interest rates continue to stay low through the end of the year and we get closer to a change in the White House. We’ll keep you informed with our take and hopefully provide you with information that can help in your buying or selling process.


Market Highlights Pacific Coast

Total Homes for Sale

368

Luxury Homes for Sale*

99

*Homes for sale above $3 million.

Total Homes Sold

Average Days on Market

Average List Price

Average Sold Price

110 $2,844,000

50

$1,154,000


Inventory Pacific Coast

Sold

200

268

333

314

232

258

250

296

316

368

For Sale

368

363

379

315

300

349

350

356

400

400

Total Number Of Homes:

60

110 86

102

83

92

15-Oct

68

110

50

107

110

136

15-Sep

87

97

96

100

117

150

0 15-Apr

15-May

15-Jun

15-Jul

15-Aug

15-Nov

15-Dec

16-Jan

16-Feb

16-Mar

16-Apr

16-May

16-Jun

It is a Neutral Market Property Sales (Sold) June property sales were 110, down 6% from 117 in June of 2015 and 27.9% higher than the 86 sales last month. Current Inventory (For Sale) Versus last year, the total number of homes available this month is higher by 12 units of 3.4%. This year’s bigger inventory means that buyers who waited to buy may have bigger selection to choose from. The number of current inventory is up 10.5% compared to the previous month. Property Under Contract (Pended) There was an increase of 5.8% in the pended properties in June, with 110 properties versus 104 last month. This month’s pended property sales were 0.9% lower than at this time last year.

Inventory By The Numbers Home Price Range

Homes For Sale

Year Over Year % Difference

< $500K

2

-60%

$500K $1M

80

-25.2%

$1M - $3M

187

8.7%

$3M - $5M

49

16.7%

$5M - $10M

36

71.4%

$10M +

14

55.6%


Pricing Pacific Coast

Average Prices in $,000:

For Sale Price

3500

$3,240

3000 2500

Sold Price

$2,378 $2,394

$2,480

$2,570

$2,477

$2,678 $2,669

$2,868

$2,945

$3,028

$2,906 $2,890 $2,890 $2,844

2000 1500 1000

$1,634 $1,151

$1,335

$1,146 $1,081 $1,199 $1,034

$1,315

$1,548

$1,206

$1,203

$1,332

$1,421

$1,296

$1,154

500 0 15-Apr

15-May

15-Jun

15-Jul

15-Aug

15-Sep

15-Oct

15-Nov

15-Dec

The Average For Sale Price is Depreciating The Average For Sale Price in June was $2,844,000, up 14.7% from $2,480,000 in June of 2015 and down 1.6% from $2,890,000 last month. The Average Sold Price is Depreciating The Average Sold Price in June was $1,154,000, up 11.6% from $1,034,000 in June of 2015 and down 11% from $1,296,000 last month. The Median Sold Price is Neutral The Median Sold Price in June was $952,000, up 13.6% from $838,000 in June of 2015 and down 1.1% from $963,000 last month.

16-Jan

16-Feb

16-Mar

16-Apr

16-May

16-Jun

Pricing By The Numbers

Average Price Per Square Foot.

$563

-3.6% Month over Month


On The Market Pacific Coast

Average Days On Market

80 70

72

68

73

70 63

55

60

69

62

61

53

53

46

50

50

50

38

40 30 20 10 0 15-Apr

15-May

15-Jun

15-Jul

15-Aug

15-Sep

15-Oct

15-Nov

15-Dec

The Days on Market Shows Downward Trend The average Days on Market (DOM) shows how many days the average property is on the market before it sells. An upward trend in DOM trends to indicate a move towards more of a Buyer’s market, a downward trend indicates a move towards more of a Seller’s market. The DOM for June 2016 was 50, down 19.4% from 62 days last month and up 31.6% from 38 days in June of last year.

16-Jan

16-Feb

16-Mar

16-Apr

16-May

16-Jun

DOM By The Numbers Home Price Range

Days on Market

Year Over Year % Difference

< $500K

52

-190%

$500K $1M

32

-16%

$1M - $3M

64

50%

$3M - $5M

200

83%

$5M - $10M

0

N/A

$10M +

0

N/A


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