Last month the median price of residential homes in most of the surrounding counties (Placer, Sacramento, Sutter, and Nevada) increased year over year, the first such occurrence of this happening in almost two years.
The difference this time is there is no homebuyer tax credit incentivizing people to buy ASAP. It’s truly the market (low prices and low rates), along with an ever so slightly but consistently improving economy and job market, doing its thing here.
Check out the data (median sales price from March 2011 – March 2012)…
Placer County Homes: 6% increase
Sacramento County Homes: 1.3% increase
Sutter County Homes: 9% increase
Nevada County Homes: 9% increase
Yolo County: Flat (no increase/decrease)
El Dorado County: 5% decrease
This is no guaranty that home prices in Placer, Sacramento, or any other county are on the rise, or that the market is back on track to normalcy, but coupled with all of the news I share with you on a regular basis about declining defaults and foreclosures, as well as other less talked about real estate market data it seems pretty clear to me… A more normal market, a market that will appreciate at a more normal rate going forward (1-6%), isn’t just hopefully thinking, the data tells us it’s already here.