What it is Versus What it Feels Like

What it is Versus What it Feels Like

As we experience the dynamics of global markets, the presence of trade issues, economic worries and interest rates that are rising we are seeing the tale of the ticker tape in the data that does not take its cue from underlying emotions. 

According to the most recent data collected by BAREIS MLS, a current overview of Sonoma County shows an average sold price per-square-foot (psf) of $572 being paid for a single-family home – 4% greater than last year at this time – requiring practitioners to get into the nitty gritty of analyzing the gyrations being caused by the geopolitical and economic pressures along with the perplexing rise in mortgage interest rates - that we typically see fall in times of unrest and poorer business performance – in order to best advise clientele.

Of the 15 different sub-markets in Sonoma County, only eight of these presented improved values over the same period a year ago. Sales of single-family homes on our glorious Pacific Coastline outperformed all others on this metric reporting a leap of 48% to close March at $885psf while America’s favorite small town – Healdsburg – jumped 31% to $844psf. The tony town of Sonoma along with Petaluma’s Eastside both jumped 12% from this time last year to close the period at $795psf and $575psf, respectively, while Oakmont ascended 11% to $502psf. 

Remaining on the plus side, Sebastopol properties experienced a 9% improvement as closed sales crossed the finish line at $638psf outpacing Northwest Santa Rosa where values rose 6% to $472psf. Improving 2%, Windsor sales closed at an average of $498psf.

Giving a little back this month from a year earlier found the Russian River region dipping 1% to $530psf while Cotati & Rohnert Park sloughed off 2% to $436psf. Southeast Santa Rosa conceded 3% to see sales close at $471psf while Southwest Santa Rosa traded 7% lower at $382psf. In Northeast Santa Rosa this metric slipped to $502psf, 8% less than in March of last year. 

Slipping double digits from a year ago, Petaluma’s Westside gave up 10% watching properties transfer at an average of $619psf while the cellar dweller this month is Cloverdale where closings lost 21% from where transactions happened in 2024.

Inventory levels of available homes continue to rise as expected and during this time of year providing more choice for buyers to select from though not necessarily at lower prices. We see completed sales year to date running 12% ahead of last year at this time and anticipate the trends to remain in order as previously thought for 2025 – even though you may feel otherwise.