Sunday, April 13, 2008

Sacramento Regional Real Estate Trends for April 12, 2008

Steady as she goes. Looks like 15,000 listings is the magic number. Also, it looks like asking prices are slowing their decent, which seems to conform to an emerging seasonal pattern.












5 comments :

Anonymous said...

Can't wait to see where May, June, and July is heading. Thanks.

DrDoom said...

I am surprised that the annual seasonal inventory rise has not started. This is the first year ever recorded with no increase at this late date. Agentbubble post on 4/10/08 demonstrated 62% of new listings are distressed but why isn't the "normal" stuff rising? Have we reached a new Bubble Phase? Are we seeing signs of the capitulation portion of Dr. Jean-Paul Rodrigue's classic graph (from irvinehousingblog.com)?

http://www.irvinehousingblog.com/wp-content/uploads/2007/03/bubblesandmanias.jpg

low rent said...

I believe what we are seeing is the delayed spring “dead cat bounce”. The pent up buyers have made their offers and now are seeing the homes sale come off the market. This will hopefully re-set the comps for a better summer.

Driving through Rocklin and Roseville this weekend, every other real estate sign was a REO open house. It will be interesting by the end of the summer to see these signs being much less effective, as too much of one thing will always loose its appeal to the average buyer.

Max said...

I believe what we are seeing is the delayed spring “dead cat bounce”. The pent up buyers have made their offers and now are seeing the homes sale come off the market. This will hopefully re-set the comps for a better summer.

That's as good a guess as any. Even though we're below last year's inventory at this time, 15,000 is still a ton of listings.

Real said...

"but why isn't the "normal" stuff rising?"

Maybe because they are houses and not burritos sitting under a Taco Bell heat lamp. Given that prices are down, buyers don't have a lot of motivation to sell their homes unless they are absolutely forced to do so. Investor psychology is to avoid realizing losses by selling at a low, which explains why houses have come off the market. So, in the past the 'forced' buyers were divorces and job losses but with some equity so they sold - now they mail in the keys and it counts as a REO.