Spring Markets Bring Sunshine & Sales
With Winter in the rearview mirror, our markets - much like the blossoms - have sprung into action.
According to BAREIS MLS, Sonoma County had exactly 676 single-family homes left for sale at the close of April – 48 percent greater than this same period a year earlier. Sellers delivered 378 new listings to the market during the month – 13 percent less than in 2023 and a another new all-time low - while buyers garnered control of another 354 new deals – eight percent greater than a year ago. In support of these metrics, completed sales stood at 318 for the period – a staunch 13 percent more than this same time last year while the median price for a Sonoma County home remains flat at $841,000 from this same period.
The continued pace of the markets can be measured by the months’ supply of inventory (MSI) and, with the Federal Reserve indicating a neutral rating along with a bias towards lowering rates - though still tempering when that may actually occur – we may expect signs of inflation finally being held in-check. In April, the overall MSI for Sonoma County registered a reading of 2.1 – indicating sellers remain in control - which has been the case for the last 13 years.
MSI is the metric that indicates the number of months it would take to sell the current inventory at the current rate of sales. An MSI ranging from 4.0 to 6.0 is indicative of a balanced market, with lower numbers increasingly favoring sellers and vice versa.
Getting down to the details in the town of Sonoma, which submarket includes the hamlets of Kenwood and Glen Ellen, there were 102 homes reported for sale as April concluded – 48 percent higher than last year. This region experienced the addition of 29 new listings during the month – another historical low - while buyers garnered accepted contracts on 40 more properties, 25 percent above last year’s demand levels. Sellers in the valley awarded keys to 36 new homeowners causing MSI to contract further to 2.7.
Healdsburg witnessed 27 new listings arrive to the market last month – 13 percent fewer than a year ago. Buyers absorbed 25 homes in new deals while sellers closed out another 20 transactions leaving this submarket with 55 dwellings for presentation to buyers in May – 12 percent above year ago levels - culminating in an MSI reading of 2.8 – thereby swinging momentum back under control of sellers and away from a neutral reading.
Petaluma’s Westside attracted just 16 new sellers in April – another all-time low for the period - leaving available inventory at 37 homes for buyers to select from by months end. Home seekers grabbed 19 new deals in the period while sellers closed out another 22 purchases allowing MSI to rise modestly to 1.7 for the month.
Sebastopol wrapped up the period with 45 available homes for buyers to consider, which included the 34 new offerings from property owners in April - a welcomed relief for buyers. Home shoppers placed 26 more abodes into contract while sellers completed 15 sales, allowing MSI to edge further upwards to 3.0 for the period.
The Russian River region saw available listings rise to 55 as 34 new sellers showed up during the month. Buyers captured 13 deals in April while sellers closed out 15 more transactions allowing MSI to rise immensely to 3.7 – almost a neutral ranking.
Once again, with the inconsistency between submarkets and their price niches, we know that the demands from buyers remain high - especially in the entry level and move-up markets - while the luxury markets are feeling less so as this buyer pool tries to assess where rates are going and make their commitments accordingly in this “want” driven segment of the marketplace.
Stay up to date on the latest real estate trends.
