Wine Country Real Estate Trends in July 2017
Better Homes and Gardens Real Estate|Wine Country Group Results for July 2017
Better Homes and Gardens Real Estate|Wine Country Group had 47 closings in July 2017 compared to 58 last month. In July, we closed homes with a total value of $29 million compared to $32 last month. The average selling price of the properties sold by the Wine Country Group in July was $617,021.
BHGRE|WCG currently has 71 pending sales with a value of $54 million dollars. We have 65 active listings with a value of $104 million dollars. Our average listing price is $1,600,000.
Wine Country Real Estate Results for July 2017:
Sonoma County: The inventory of homes and condominiums available in Sonoma County at the end of July seasonally stabilized and decreased slightly. The inventory stands at 867 and is down 1.4% from the inventory last month (879). It is 5% below the inventory in July 2016 (912). The Wine Country inventory was down less than the inventory in Marin County, which fell 15% on a month to month basis. New sales (602) in July were 21% ahead of the pace of last month (497) and were also 20% ahead of the pace of July 2016 (500). Correspondingly, new sales in Marin County fell 20%. There is a 1.4 months supply of inventory in Sonoma County based on the existing sales pace. The time it takes to sell a home in the various areas of Sonoma County (Days on Market) varies from 36 (Rohnert Park) to 83 (Coastal Sonoma) days. For the purpose of our MLS (BAREIS) “Days on Market” represents the time from when the property is first listed in the MLS to the date the property goes into “pending” (all conditions removed) status. On average, it can take anywhere from 0 to 30 additional days for properties to close after going pending. The average Days on Market for the County as a whole is 51 days. The median price of homes closed in July in Sonoma County was $603,000. This is a 13% increase over the median price in July 2016 ($535,000). The current median price of homes closed in July is 2.4% above the previous peak median price for the County ($589,000) recorded in July 2005.
Sonoma County Luxury Homes: About one quarter of the inventory in Sonoma County can be characterized as Luxury Homes (listing price in excess of $1,500,000). There has been a 28% increase in the number of Luxury Homes closed (228) from 8/1/16 to 7/31/17 compared to 178 from 8/1/15 to 7/31/16. The pace of new sales (40) in July this year was 54% ahead of the pace of a year ago (23). That’s a very strong selling pace for luxury homes in the County. There were 218 luxury properties in inventory at the end of July compared to 216 last month and 201 a year ago. The Days on Market for Luxury Home closings was 95 days this July compared to 124 days a year ago. This compares to 51 Days on Market for all closed properties in the County in July. There is a 5.5 months supply of inventory of luxury properties based upon the current sales pace compared to a 1.4 months supply in the overall Sonoma County market.
Cloverdale: The inventory of homes and condominiums for sale (23) in Cloverdale at the end of July was 21% below the 29 homes in inventory in July last year and it was equal to the 24 homes last month. There were 21 new sales in Cloverdale in July. This compares to 14 sales in July 2016 and 14 new sales last month. There is a 1.1 months supply of inventory based on the current sales pace. It’s a very tight market in Cloverdale.
Coastal Sonoma: The inventory of homes and condominiums for sale in Coastal Sonoma (Bodega Bay, Jenner and Stewart’s Point) at the end of July (31) was about equal to the inventory a year ago (32) and it was 11% ahead of the inventory last month (28). There were 7 new home sales for the month of July compared to 3 a year ago and 9 last month. There is a 4.4 months supply of inventory in Coastal Sonoma based on the current sales pace.
Healdsburg Trends: There were 89 homes and condominiums available for sale in Healdsburg at the end of the month. This is 12% below the inventory in July 2016 (101) and it is 7% below the inventory last month (96). There were 29 new sales in Healdsburg for the month. This is the highest number of sales in any month in Healdsburg in the last three years. It is 81% ahead of the number of sales in July 2016 (16) and it is 38% ahead of the pace last month (21). The months of available inventory is 3.1 months based on the current sales pace. The Healdsburg market has lagged the rest of the Wine Country market over the past couple of years, but it may have rebounded at this time.
Oakmont: There were 18 homes in inventory in the community of Oakmont at the end of July. This is 10% lower than in July 2016 (20) and it is 38% higher than the inventory last month (13). There were 18 new sales for the month. This is 38% ahead of the sales pace of a year ago (13) and 12.5% ahead of the pace of last month (16). There is a one months supply of inventory based on the current sales pace. The median price for homes sold in Oakmont in the past year has ranged from the mid-$500,000’s up to $675,000. The median price jumped up to $754,000 for the 18 closings last month. This is likely the highest median price recorded for any month in Oakmont.
Petaluma: The inventory of homes and condominiums for sale in Petaluma at the end of July (74) is 7% above the inventory in July 2016 (69) and it is 10% ahead of the inventory last month (67). There were 75 new sales for the month. This is 34% ahead of the number of new sales in July 2016 (56) and is 17% above the 64 sales last month. The Petaluma market has been volatile and currently has one months of available inventory based on the current sales pace. The median price of the 41 homes that closed in July was $695,000. This is 11% ahead of the median last July ($625,000).
Rohnert Park and Cotati: For the ninth consecutive month, the monthly sales in Rohnert Park-Cotati outpaced the level of inventory at the beginning and end of the month. This month, the sales soared 67% ahead of last month. Mathematically, one would believe that this can’t continue indefinitely. There were 70 new sales in July compared to 42 last month and 60 in July 2016. The inventory began the month at 37 homes and ended the month at 32 homes. There is just a 0.5 months supply of inventory based on the current sales pace. The median price ($465,000) of the 45 homes closed in July was 1.5% higher than the median price a year ago ($458,000). In July 2012, the median price was $241,000.
Russian River: The inventory of homes and condominiums for sale at the end of July (62) in the Russian River area (Guerneville, Monte Rio and Rio Nido) was 13% ahead of the level of July 2016 (55) and it was 10% lower than the inventory last month (69). There were 41 new sales for the month of July. This is 28% ahead of the pace in July 2016 (32) and 11% higher than the pace last month (37). There is a 1.5 months supply of inventory in the Russian River based on the current sales pace. The 30 homes that closed in July went from listing to pending in 44 days. The median price ($475,000) of the homes closed in July was 13% higher than the median price a year ago ($420,000).
Santa Rosa: The inventory of homes and condominiums for sale in Santa Rosa at the end of July (285) was 11% below the inventory of a year ago (320) and was 6% ahead of the inventory last month (268). New sales in July (218) were 14% ahead of the pace of last July (191) and they were 11% ahead of the pace last month (196). There is a 1.3 months supply of available homes in Santa Rosa based on the current sales pace. The median price of the 174 homes closed in July in Santa Rosa was $564,000 compared to $500,000 a year ago – a 13% increase. The median has ranged from $475,000 to $550,000 over the past twelve months.
Sebastopol Trends: The inventory of homes and condominiums for sale at the end of July (44) in Sebastopol was 21% below the level of July 2016 (56) and it was 15% lower than the inventory last month (52). There were 30 new sales for the month of July. This is 25% ahead of the pace in July 2016 (24) and 36% ahead of the pace last month (22). There is a 1.5 months supply of inventory in Sebastopol based on the current sales pace. The 22 homes that closed in Sebastopol in July went from listing to pending in 64 days.
Sonoma Valley: The number of available homes and condominiums for sale (126) at the end of July in the Sonoma Valley (Sonoma, Glen Ellen and Kenwood) was 5% above the inventory in July 2016 (120) and it was 5% below the inventory of last month (132). There were 58 new sales for the month. This is 7% ahead of the pace of sales in July 2016 (54) and it is 23% ahead of the pace of last month (47). There is a 2.2 months supply of inventory in Sonoma based on the current pace of sales. 63% of the inventory in the Sonoma Valley is priced at $1,000,000 or above. The high-end quartile (top 25%) of inventory in the Sonoma Valley at the end of July started at $3,000,000 last month (up from $2,900,000 in May). 15 homes closed in the top quartile in the past twelve months compared to 14 in the twelve months prior to that. There were 32 homes available in this quartile in July compared to 19 a year ago. There were two new sales in the top quartile in July. Based on the two sales, there is a 16 months supply of inventory in the top quartile.
Windsor: The inventory of homes and condominiums for sale in Windsor at the end of July (37) is 6% ahead of the inventory in July 2016 (35) and it is slightly ahead of the 36 homes last month. There were 31 new sales for the month. This is 11% below the pace of sales in July 2016 (35) and it is 14% below the pace of last month (36). There is a 1.2 months supply of inventory based on the current sales pace. The days on market for the homes closed in July in Windsor was 59 days. The median price ($584,000) of the 31 homes closed in July was 11% higher than the median price a year ago ($526,000).
Napa County: The inventory of homes and condominiums available for sale in Napa County at the end of July (358) is 14% below the inventory in July 2016 (418) and it is 3.5% higher than the inventory last month (346). New sales (120) were 6% below the pace of last year (128) and 17% below the pace of last month (145). There is a 3.1 months supply of inventory based on the current sales pace – trending towards a balanced market. The Days on Market for homes closing in Napa County is currently 69 days. For the purpose of our MLS (BAREIS) “Days on Market” represents the time from when the property is first listed in the MLS to the date the property goes into “pending” (all conditions removed) status. On average, it can take anywhere from 0 to 30 additional days for properties to close after going pending. The median price of the 111 homes closed in July in Napa County ($692,000) was 11% ahead of the median price of a year ago ($624,000). The median has generally ranged between $580,000 and $660,000 over the past year. The current median price is 2.5% ahead of the prior peak median price for the County ($675,000) recorded in July 2006.
Napa County Luxury Homes: If one takes the highest quartile (25%) of available inventory as the “Luxury Market”, the Luxury Market begins at $2,000,000 in Napa County at this time. Last month, the top quartile started at $2,400,000. The number of closings (77) of Luxury Homes (sales price in excess of $2,000,000) in Napa County is about equal for the period 8/1/16 to 7/31/17 compared to 8/1/16 to 7/31/17 (75 homes). There were 89 luxury homes in inventory at the end of July 2017 compared to 107 at the end of July 2016. There were 12 Luxury Home new sales last month resulting in a 7.4 months supply of available Luxury Homes based on the current sales pace compared to 3.1 months supply for the County as a whole.
Napa: There were 198 available homes and condominiums in inventory at the end of July in the City of Napa. This is 11% lower than the inventory a year ago (223) and it is 11% higher than the supply last month (178). New sales (79) were 14% below the pace of July 2016 (92) and they were 23% below the pace of last month (102). There is a 2.5 months supply of inventory based on the current sales pace. The median price of the 81 homes that closed in Napa in July was $700,000. This is 5% above the median price of the homes closed in July 2016 ($666,000). The median price is 7.6% ahead of the prior peak median price in the City of Napa ($650,000) recorded in July 2006. So, this is the highest median price ever recorded for a month in the City of Napa.
Up Valley Napa County: The inventory of homes and condominiums for sale in the Up Valley Napa County market (Angwin, Calistoga, Deer Park, Oakville, Rutherford, St. Helena and Yountville) at the end of July (108) was 25% below the level of 144 in July 2016 and it was 8% below the level last month (117). There were 23 new sales for the month compared to 18 a year ago and18 last month. There is now a 4.7 months supply of inventory based on the current sales pace. The Days on Market for the 15 closings last month was 124 days. Approximately 60% of the Luxury Market (price in excess of $2,000,000) inventory in Napa County is in the Up Valley Market (53 homes). Seven of the twelve luxury home sales in Napa County last month were in the Up Valley market.