Sunday, July 29, 2007

Median Price for Homes Sets New Record in June (San Mateo County)

The median price for single-family, re-sale homes rose 4.8% in June from the month before to a new all-time high. It was just $500 shy of $1,000,000. The average price also set a new record, soaring 10.1% from May. Home sales rose 5.8%, month-over-month, but were off 7.3% compared to June 2006. Year-to-date, home sales are off only 5.8%, the best in the Bay Area.

The median price for Condos dropped 2.8% to $605,000, still good enough for an annual gain of 10%. The average price fell 3.7% to $623,918, and was up 5.4% year-over-year. Condo sales rose 29.2% from May, but were off 8.7% year-over-year.

Inventory continued to grow, with single-family homes up 1.2% from May and up 5.3% year-over-year. Condo inventory was up 5.4% month-over-month, and up 2% compared to last May. The sales price to list price ratio fell 1.5 points to 98.5% for homes. The ratio for condos lost 1.4 points to 99.1%. Days of inventory fell five days to 96 for single-family homes. For condos, days of inventory dropped 27 days to 121 for condos.

For buyers, if your credit is a little bit dinged, spend some time improving it. Otherwise, the upper end of the market favors sellers while the lower end favors buyers. For sellers, if you are in the lower end of the market buyers are few and far between. Put your home in mint condition and price it right. If you are in the upper end of the market, it still pays to make your home as presentable as possible, and if you'are in a desirable neighborhood, you will get multiple offers.

The real estate market is very hard to generalize. It is a market made up of many micro markets.

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