What is going on in the Real Estate Market?

Home sales typically decline in September/ October, as people are less likely to move when school starts.  As a result, list prices and number of units on the market decline.

One interesting metric this season, however, is that months of inventory has declined as well.  In May, we had almost 7 months worth of homes on the market- this has dropped to just under 4.5 months in October.  What does this mean?  There are less homes on the market, less for buyers to choose from, sellers are waiting until spring to market their homes on the advice of their agents.  Is that good or bad for sellers?  Now would actually be an ideal time to list your home- less competition on the market!  Additionally, you would pre-empt the "shadow inventory" of bank-owned properties that are waiting in the wings to come onto the market, and have more negotiating power with buyers.


Valerie Leivo is a Realtor with Keller Williams Realty in Santa Rosa.  I can be reached at 707-490-5527, via email greenvalerie@kw.com, http://www.greenvalerie.com/.