Sonoma, CA – The Sonoma County existing-home market continued to show signs of a recovery in the third quarter as strong demand and a shortage of available properties helped fuel a modest increase in the median sales price of a home, according to a report by the research division of Wine Country Group by Better Homes and Gardens Real Estate based on an analysis of MLS data.
First-time homebuyers and others requiring bank financing continued to compete with investors with cash who have the ability to submit multiple offers and bid up the asking price. The median price of an existing, single-family detached home sold in Sonoma County rose 4 percent from $360,356 in the second quarter to $373,881 in the third quarter. The most recent median price was 6 percent higher than a year ago, when it stood at $351,475.
As has been the case in recent quarters, the number of homes sold almost certainly would have been higher had there been more homes available for purchase. Countywide, 1,418 existing, single-family detached homes were sold in the third quarter, down 3 percent from 1,465 homes sold in the second quarter but up 12 percent from the 1,263 homes sold during last year’s third quarter. Inventory remained tight. As of Sept. 30, 2012, only 841 existing detached homes were listed for sale in Sonoma County, down 57 percent from 1,959 homes available on Sept. 30, 2011. At the local level, inventory was down 88 percent from a year ago in Petaluma, 72 percent in Rohnert Park, 69 percent in Santa Rosa, 52 percent in Sonoma, 49 percent in Sebastopol and 43 percent in Healdsburg.
Homebuyers – particularly investors with cash looking to purchase, rehab, and quickly re-sell properties – continued to focus on Santa Rosa (600 homes sold for the quarter), Petaluma (189 homes sold) and Sonoma (131 sold). All three cities also experienced healthy increases in their median sales price on both a quarterly and annualized basis. However, with inventory in short supply in these larger cities, some homebuyers turned to more rural communities. As a result, the number of sales transactions and median sales prices were up on both a quarterly and annualized basis in Cotati, Forestville, Guerneville and Penngrove.
According to Carol Lexa, Sonoma Manager, Wine Country Group, “With inventory expected to remain in short supply through the fall months, homeowners who have been waiting for home prices to improve may consider seeking the opinion of an experienced REALTOR® who can help evaluate current market opportunities.” Homebuyers, meanwhile, should be prepared to act quickly on any new listings and to work with a REALTOR® who has local-market knowledge to help negotiate a successful purchase offer.
Third Quarter 2012 Housing Market Survey – Sonoma County
Sonoma County
Homes Sold Q3/12
Homes Sold Q3/11
% Change
Avg. DOM* Q3/12
Avg. DOM Q3/11
Change 12/11 (Days)
Median Price Q3/12
Median Price Q3/11
% Change
Single-Family Detached Homes
1,418
1,263
12
106
84
22
$373,881
$351,475
6
Third Quarter 2012 Housing Market Survey – Cities in Sonoma County
Single-Family Detached Homes
City
Homes Sold Q3/12
Homes Sold Q3/11
% Change
Avg. DOM* Q3/12
Avg. DOM Q3/11
Change 12/11 (Days)
Median Price Q3/12
Median Price Q3/11
% Change
Annapolis2
2
0
51
280
22
$120,000
$354,850
-66
Bodega Bay 8
16
-50
64
123
-59
$593,500
$542,000
9
Cazadero
8
5
60
43
119
-76
$255,000
$288,500
-12
Cloverdale 34
39
-13
46
71
-25
$304,000
$245,000
24
Cotati 21
12
75
46
25
21
$349,900
$342,500
2
Forestville 34
17
100
50
68
-18
$247,500
$155,000
60
Fulton
2
0
100
55
-
-
$208,100
-
-
Geyserville 4
4
0
17
52
-35
$352,250
$892,500
-61
Glen Ellen 13
10
30
72
44
28
$611,000
$774,500
-21
Graton 0
2
-100
-
61
-
-
$302,500
-
Guerneville 39
26
50
49
82
-33
$230,000
$216,500
6
Healdsburg 53
51
4
74
70
4
$500,000
$580,000
14
Jenner 1
1
0
284
149
135
$350,000
$545,000
-36
Kenwood 11
10
10
39
53
-14
$765,000
$416,500
84
Monte Rio 11
10
10
55
87
-32
$251,000
$257,750
-3
Occidental
6
7
-14
19
56
-37
$577,500
$685,000
-16
Penngrove 14
10
40
78
65
13
$620,000
$597,500
4
Petaluma
189
159
19
50
76
-26
$399,000
$380,000
5
Rohnert Park 64
78
-18
46
64
-18
$291,775
$285,100
2
Santa Rosa 600
527
14
46
64
-18
$336,000
$299,950
12
Sebastopol 60
66
-9
66
52
14
$540,240
$477,500
13
Sonoma 131
106
24
55
99
-44
$430,000
$406,000
6
The Sea Ranch 22
14
57
114
124
-10
$497,750
$500,000
-.5
Windsor 91
91
0
40
57
-17
$362,500
$330,000
10
Dillon Beach (Marin Co) 6
1
500
75
97
-22
$549,750
$440,000
25
* Days on market is the number of days a property was listed on the market until it went under
contract at its final listing price. This may not reflect previous listings.
**The median home price for the entire county is the mean of median home prices of
cities within Sonoma County.
Other notes:
The Dillon Beach community in Marin County is served by the Bodega Bay office of Wine Country Group by Better Homes and Gardens Real Estate. It is included for informational purposes and is not factored into the Sonoma County totals. Bodega and Valley Ford recorded no home sales in either Q3 2012 or Q3 2011 and are not included in the chart, although their results are included in the aggregate sales and median price data.
Data are sourced from multiple listing services and are deemed reliable but not guaranteed.
All percentages rounded to nearest whole number.
About Wine Country Group by Better Homes and Gardens Real Estate
Our heritage began with the founding of Mason-McDuffie Real Estate in 1887. In 2010, the company was named the 17th largest real estate services firm in the nation (RIS Media), and Number One in the San Francisco East Bay (SF Business Times). The company provides comprehensive solutions to home buyers and sellers, and handled 7,790 transactions in 2011, generating $2.94 billion in sales. Better Homes and Gardens Mason-McDuffie Real Estate is independently owned and operated and includes joint ventures with partners Highland Partners in Piedmont and Montclair, Wine Country Group Realtors in the North Bay, and Tri-Valley Realty in Pleasanton-Hopyard and Ruby Hill. The organization is comprised of more than 1,200 sales professionals in 29 offices. For more information, go to www.bhghome.com