Resale Home Market Keeps on Ticking

October new open escrows up 30 percent year-over-year.

(SACRAMENTO, CA) – During the month of October, 1,639 resale homes closed escrow throughout the Greater Sacramento region. That figure reflected a 9 percent lift compared to September when it appeared as though the market was about to slow down. The renewed activity also reflected a noteworthy 18 percent increase versus October of 2023. An uptick in home sales is always welcome this time of year however, these numbers still fall approximately 35 to 40 percent below figures posted during October 2018 and 2019. Sales metrics from those years are perceived to be more normal than those of more recent years which were substantially impacted by mortgage interest rate highs and lows.   

“The resale housing market remains reasonably active,” says Pat Shea, President and CEO of Windermere Signature Properties. “The traditional seasonal slowdown is sure to arrive, however, some recent fluctuations with mortgage interest rates have kept things moving just a bit better than last year at this time. New open escrows at 1,676 for the month, were up slightly 2 percent compared to September yet approximately 30 percent versus October of last year. This again implies that buyers remain both willing and able when the right home appears for them.”

The number of active and available homes for sale considering all price points at month-end stood at 3,652, a modest one percent drop since September. Inventory is, however, approximately 37 percent higher than last year at this time. Shea believes this could possibly delay the winter market softening as “willing buyers currently have many more opportunities and choices.” He stated that “based upon the current rate of sales, the region has approximately 2.2 months of available housing supply. Considering market conditions over the past 3 to 4 years, 2 to 3 months of supply is typically perceived as a balanced market. More inventory and choices for prospective buyers at this time of year is always optimal.” 

The upper-end or one million dollars and above price point, also kept the heat on during the month of October. Closed transactions were up 6 percent versus September while new open escrow totals remained nearly even for both months. New open escrows for the trailing 3 months combined increased a significant 23 percent compared to the same period last year. Closed sales for that same 3-month period, however, were up only 6 percent, indicating that some will spill into November.  Inventory rested at 610 properties available on October 31st. That left approximately 4 months of supply in the upper end, which is considered pretty moderate across Greater Sacramento for this price range. 

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The average closed sales price when considering all price points over the past 3 months, landed at $665,000. Even with an elevated number of sales and available inventory, this number was nearly identical when compared to the same time frame last year. Homes that successfully closed escrow were on the market for an average of 35 days and received on average 97 percent of the original list price. 

New listings entering the market during the month were nearly even with those of September although a refreshing 29 percent higher than October of 2023. Shea offered, “This is an excellent development. We know that buyers are still out there looking and remain very committed to finding their ideal home. We also know that more prospective sellers have grown tired of waiting and are starting to unlock their existing mortgage and rate. More and more prospective sellers and buyers are choosing to move forward with their life plans and know they can refinance if rates fall. Thus, the market will likely remain a bit slower than in summer but relatively steady throughout the Holiday season.

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This market information was presented by Windermere Signature Properties is based upon data provided by Trendgraphix Inc., a Sacramento-based reporting company.

About Windermere Signature Properties

Windermere Signature Properties, formally known as Lyon Real Estate, is the leading independent real estate brokerage company in Greater Sacramento (Sacramento Business Journal). We are proud to be homegrown, privately owned, and internationally known. Windermere Signature Properties has served the area for over 78 years. Last year, the company closed a total of 3,191 transactions and $1.85 billion in sales volume with over 700 agents in 14 offices located throughout the region. The company is a member of the Leading Real Estate Companies of the World®, the largest network of premier locally branded firms, as well as LeadingRE’s Luxury Portfolio International® program. Since 2015, we have contributed more than $1,368,365 to local nonprofits. For more information, visit windermereca.com.

About TrendGraphix, Inc.

TrendGraphix, Inc. is a real estate data analytics company based in Sacramento that uses local Multiple Listing Service (MLS) data. TrendGraphix provides highly visual performance and market statistical graphs to real estate brokers, agents, and MLS/Realtor associations across the country. TrendGraphix’s programs are currently used by tens of thousands of brokers and agents in more than 300 brokerages across the nation. For more information about TrendGraphix, visit www.trendgraphix.com