Central Valley Real Estate Update: San Joaquin, Sacramento, and Stanislaus Counties

The real estate market has seen a dramatic trend the past 12 month with a surprising change in January 2013.

Available houses for sale have steadily declined in 2012 and are currently approximately half of what they were one year ago.

January 2013 experienced a sudden increase in pending sales (25% or greater).

The reduction of available inventory coupled with an increase of pending sales are clear indicators of a changing market.

My prediction for 2013 is:
- inventory levels will remain low
- Buyer demands will remain strong
- Housing prices will increase
- Distressed properties market share will decrease
- Equity sales will increase

Below are real estate trend charts for Sacramento, San Joaquin and Stanislaus Counties and are great examples of the trends in most California Counties.

Stanislaus County

San Joaquin County

Sacramento County

What is Happening with Short Sales in San Joaquin County?

The short sale market in San Joaquin County is changing along with the entire real estate market. Where we used to have an almost 90% hardship market it has lessened to around 60% today. So though many of our sellers are still in trouble, it is very much a sellers market.

We have very little inventory, multiple offers, and many times those offers are way above asking price.

To be in the game, buyers must be willing to fight for the home they want by submitting offers over asking prices, doing their own repairs, and paying their own closing costs.  They also must make decisions quickly. When buyers see a home they think will work, they must make an offer immediately.

In this market when hesitation can very well result in a missed opportunity. When you hesitate you will find there are 10-20 offers in a matter of days and your hesitating will make you lose.

Allow your agent to guide and assist you. Remember, they make nothing to write 20 offers for you and their expenses are high. If there are only 5 houses on the market and 20 buyers or 100 buyers for that house... what would you want your agent to do to ensure you get the house? Allow them to do that.