Pleasanton CA Homes for Sale | Pleasanton Market Update July 2016
- Market becoming more balanced
- Inventory continues to climb
- Pending sales drop 32%
- Upper end softens
The Pleasanton real estate market is seeing a return to “normal”. The market is still strong; it’s just a more balanced market compared to the fast pace and rapidly rising prices of the past 3 or 4 years. The statistics we are currently seeing, as well as the activity level, are all indications of a strong and healthy market. It’s just not the same out of balance seller’s market with multiple offers on every home, aggressive overbids, and surging prices we have seen the past 4+ years. In short, the market has returned to a more normal state.
For example, homes selling in an average of 22 days and for 99% of the list price (July’s averages) indicate a strong market. But we have seen homes sell more quickly than that and for well over their list price the past few years. Buyers have become more cautious and willing to take their time. Add to that the normal seasonal changes we get this time of year and there is no question that the market feels different. That difference is a return to a more balanced and “normal” level of activity. That can present very good opportunities for buyers and sellers, alike.
Lower priced homes (particularly those under $1 million) continue to sell quickly. The upper end of the market (homes priced over $2 million) is more challenging, with some sellers needing to cut prices.
July’s median sales price was $999,999, down 5% from $1,050,000 in June but still 5% higher than July 2015’s $950,000. After being over $500 for the past two months, the price per square foot dipped to $493 in July. Again, that is still $20 more than a year ago. The average home sold in July for 99% of the asking price and in 22 days. That compares to 100% and 17 days in June. Homes priced over $2 million had some effect on these averages, selling in an average of 62 days for 93% of the average list price.
Inventory rose 12% in July, to end the month at 105. That was 20 more homes than were for sale a year ago. Pending sales fell from 79 in June to 54 in July, a 22% decline. Pending sales were also 19% lower than a year earlier. A 1.9 month supply was available at the end of July, up from 1.2 months at the end of June and 1.3 months a year ago. Closed sales were flat from June at 75. That will change next month with the drop in pending sales.
The tables below provide further details on the current market compared to prior periods, as well as a look at different market segments.
Sellers: It is still a great time to be selling a home in Pleasanton. Although inventory is higher than we have seen in a while, demand remains strong, especially for prime properties in excellent condition that are priced right. Proper marketing and staging will be important to getting the most for your home. While multiple offers are still occurring for a few select properties, most other homes have to be priced strategically to get top dollar. More than ever, having a highly competent agent who knows the Pleasanton market will be critical to your success
Buyers: The current market is more favorable to buyers than we have seen in a while. However, prime properties are still getting a great deal of attention and even multiple offers on occasion. Being prepared to act quickly will be the key to getting the home you are looking for. Having a professional Realtor who understands the Pleasanton market and your own strengths as a buyer will put you in a strong position to secure the home you really want.