The Natomas Real Estate Report – Vol.1 No. 2

PAID ADVERTISEMENT

By Linda Eisenman
Keller Williams

Is the trend of downward home prices in North Natomas beginning to reverse? It is too soon to tell, but there is a small positive sign.

Beginning in 2007, bank-owned homes began to flood the local real estate market. And each home that a bank placed on the market was priced 10% below the previous sales. By the end of 2007, home prices plummeted, and 2008 continued the trend. Due in part to the moratorium, bank-owned homes have all but dried up in 2009, and the market has been relatively stable. The median home price for North Natomas in January was $240,000. In August, the median was $240,000, with many ups and downs in between.

But here is a peek at a potential new trend: over the past week, three bank-owned homes have come on the market in North Natomas. One of them is priced, as you would expect, 10% below the comps. The other two are actually priced 4% over the comps.

Is it an anomaly? Is it the beginning of a trend? Two homes do not make a statistical sample. But it cannot be lost on the banks that, at today’s home prices, they are getting multiple offers on each home they put up for sale, often over list price. Banks have long since given up paying all types of fees related to the sale. Are they beginning to reassess their pricing as well? Too soon to tell – but worth watching as more bank-owned homes come back on the market.

Buyers – it’s still competitive. Sellers – stay tuned!

For more information, call Linda at 916-838-4338.