The new year marks a transition from a prominent buyer's market to a more balanced market. Inventory is still at record lows. Partly because bank-owned home sales are a thing of the past, we have seen a 15% drop in home sales in our area. However, we did see some gains in prices, as the average sales price rose by 17% and median home price went up by 11%!
The tech boom and real estate recovery in the Bay Area seems to be increasing the sales activity up here. For home prices under $1 million, 20% fewer sold, and the average sales priced increased by only 7%. However, for homes priced between $1 million and $5 million, there were 27% more sales in the area!
So, what can we expect in 2015?
We think prices will continue to increase, but at a slower, more steady pace than we saw last year. Also, expect a small increase in interest rates. If you're planning on buying in the coming year, it's as important as ever that you get pre-qualified before you start looking for a home. Lenders have been very strict about have the proper paperwork in order before going forward with a loan.
Also, keep an eye for some of the new construction going on in Truckee. There are some great new homes going up all the time!
If you have any questions about making a move in the Truckee area, we would love to hear from you. Give us a call or shoot us an email if you would like assistance in taking advantage of this great market!
