Recently, I had a buyer consultation with a client, and she asked, “How is the real estate market doing?”
Right now, Sacramento has about 1.3 months of housing inventory available. To put that in perspective, a balanced market has four to six months of inventory. Anything below that is considered a seller’s market.
With only a little over a month of inventory available, houses that are priced correctly are flying off the market in as little as 10 days. Demand is incredibly high right now, and if a buyer finds the right home, they are moving quickly to make sure they get it.
Part of the reason why demand is so high is because interest rates are at an all-time low. The buyer I spoke with was able to get a 30-year fixed rate of 3.6% by working with our preferred lender. If you’re like me and you have a 5% interest rate on your home, now is a good time to look into refinancing your mortgage. Even though it’s a strong seller’s market, it’s a strong borrower’s market as well.
The second quarter of 2016 is even better than the first. Since this is such a strong seller’s market, a lot of our properties are getting multiple offers. Recently, we listed a property at $429,000. The property got eight offers and closed at $452,000. The appraiser warned us that the property wouldn’t appraise, but it did!
In April, we closed 27 transactions, which is almost a deal a day. As you can see, the Sacramento market is booming. If you have any questions, just give us a call or send us an email. We would be happy to help you!