I was reminded recently that this month marks the fifth anniversary of the height of the Reno-Sparks housing market.  Five years ago the median sold price for houses in Reno-Sparks peaked at $360,500 (August, 2005).  Today’s median sold price of $180,000 is half of that.

Although all neighborhoods have declined since their peaks, some have been affected to a greater degree than others.  Prompted by a question from one of this blog’s regular readers concerning the market in the 89511 zip code, I choose to compare current-to-peak median sold prices by zip code.

As shown in the table below the 89512 zip code has suffered the greatest decline at nearly a two-thirds loss in median sold price.  At the other end the 89509 zip code has seen a relatively lower 38% decline.

Note: The info in the table above includes Site/Stick Built properties only. Data excludes Condo/Townhouse, Manufactured/Modular and Shared Ownership properties. Data courtesy of the Northern Nevada Regional MLS - August 2010.  This information is deemed reliable, but not guaranteed.

Below find First Centennial Title’s Market Condition Report for the month of July.

MARKET OVERVIEW: No significant change in market key measures from last month. The market is showing very slight signs of weakening from the perspective of the seller (rising Absorption Rate). This is in line with other markets surveyed.

• SUPPLY (ON MARKET): Little change. A slight increase over last month.
• DEMAND (SOLD PER MONTH): Demand off slightly from last month.
• FAILURES (EXPIRE-WITHDRAW): Marginal increase from last month.
• IN ESCROW (FUTURE CLOSINGS): SFR and Condo inventory in escrow is in decline. This suggests that the recent surge of closings is not being replaced by new escrow entry, signaling a slower or constant market. This outcome is similar to last month.
• PERCENT SELLING: Off 3 points from last month.
• WEEKS SUPPLY GIVEN DEMAND (Absorption Rate): Note the elevated Absorption Rate in Yerington, versus the slow Market Speed. Absorption Rate outcomes like that of Yerington usually signal relative area overpricing (the same is true of Minden). These two measures are loosely linked. As the ratio of supply to demand increases, the market is slow or is entering a slowing stage.
• MARKET SPEED: The pace of the market, which had been rising consistently, has peaked. The best performing Reno sub-market remains the perennial favorite, Fernley SFR, returning a Market Speed of 44 (up 4 points from last month). The slowest is Gardnerville SFR at 16. It is somewhat unusual that Gardnerville has slowed to this level.
• PRICES: Prices gyrating from month to month with a slight positive propensity. See History of Median Sale Price Graph. The current positive direction of price is weak and tentative.

Click on the picture below to access the full report (two pages).

The number of houses sold in July fell 32 percent from June’s units sold.  Seasonality factors and the end of the First-time Homebuyers Tax Credit contributed to the huge drop in sales.

On the flipside the median sales price jumped nearly 6 percent in July – due to the decrease in the number of entry-level homes being sold now that the effects of the First-time Homebuyers Tax Credit have passed .

Interestingly, July 2010’s median sold price of $180,000 is unchanged from July 2009’s number.

Active listings are up 9.8 percent this month.  Pendings are down 2.8 percent.

July’s sales break out as follows:

• Bank-owned properties – 26.3%  - up from June’s 23.3%
• Short sales – 34.7% - down from June’s 43.4%
• Equity sales – 37.7% - up from June’s 31.7%

For those readers who prefer the median sold price for houses and condos combined, July’s 475 sold houses and condos exhibited a combined median sold price of $162,900 – up from June’s combined median of $160,000.

Note: The medians table above is updated on a monthly basis. The median home price data reported covers the cities of Reno, Nevada and Sparks, Nevada [NNRMLS Area #100]. Residential data includes Site/Stick Built properties only. Data excludes Condo/Townhouse, Manufactured/Modular and Shared Ownership properties. Data courtesy of the Northern Nevada Regional MLS - August 2010.  Note: This information is deemed reliable, but not guaranteed.

Washoe County resales skyrocketed in June breaking the 800 unit mark for the first time.  June’s 819 recorded resales was a 26% increase over May’s 648 resales.  No doubt the First-time Homebuyers Tax Credit was a major driver behind this increase.

New home sales June saw an even greater increase.  June’s 94 new home sales was a 68% increase over May’s new home sales.

Re-fis continue to slide; falling another 8% in June.

Click on the chart below to see June’s numbers.

Thank you to our friends at Ticor Title for providing this data.

Below find First Centennial Title’s Market Condition Report for the month of June.  With phrases like: “No significant change…”; “Little change…”; “A slight increase…”; “Holding constant…”; “No significant movement…” used to describe June’s key metrics, I wonder is this telling of a bottom, or the calm before the storm?

Click on the picture below to access the full report (two pages).

To compliment the mid-year market stats published by Chase International last week, please find the mid-year price banding charts below. These price banding charts are for residential sales from January 1, 2010 to June 30, 2010. The markets of Incline Village, East Shore, Truckee, Tahoe City, Sparks, Reno, South Lake Tahoe, and Carson Valley are contained in the .PDF below.

  
Click to enlarge.

Below are the mid-year statistics for the Reno/Sparks and Lake Tahoe (Incline Village, East Shore, South Shore and Tahoe City) markets, published by my broker, Chase International.

From the report…
Reno/Sparks 1st-half 2010 compared to 1st-half 2009

• Units sold: 16% increase
• $ Volume: 6% increase
• Median price: 8% decrease

Click on the reports below to enlarge…

Whew!  The title companies must have been working overtime in June.  559 homes were sold for the month.  We haven’t seen a number that high since last October (the month preceding the *first* deadline for the First-time Home Buyers Tax Credit – before congress extended the deadline to June 30, 2010.)  June’s 559 sales number was a 25 percent increase over the number of sales in May!

As expected though, all those first-time homebuyer purchases didn’t boost the median sales price.  In fact, June’s median fell 1.9 percent to $172,000 from May’s $175,307.  YOY, June’s median sold price is off 4.7 percent from June 2009.

June’s median sold price per square foot, $102.02, also showed a slight decrease from May’s $102.19.  YOY, June’s median sold price per square foot is down two percent.

Active listings are up 9.9 percent this month.  Pendings are down 9.9 percent.

June’s sales break out as follows:

• Bank-owned properties – 23.3%  - down from May’s 28.0%
• Short sales – 43.3% - up substantially from May’s 34.6%
• Equity sales – 31.7% - down from May’s 36.5%

For those readers who prefer the median sold price for houses and condos combined, June’s 647 sold houses and condos exhibited a combined median sold price of $160,000 – unchanged from May’s combined median of $160,000.

Note: The medians table above is updated on a monthly basis. The median home price data reported covers the cities of Reno, Nevada and Sparks, Nevada [NNRMLS Area #100]. Residential data includes Site/Stick Built properties only. Data excludes Condo/Townhouse, Manufactured/Modular and Shared Ownership properties. Data courtesy of the Northern Nevada Regional MLS - July 2010.  Note: This information is deemed reliable, but not guaranteed.

Washoe County insured recordings fell 8 percent in May compared to April’s numbers. New home sales saw the largest decline – nearly 36 percent; followed by re-fi’s – down 10 percent.

Click on the chart below to see the May’s numbers.

Thank you to our friends at Ticor Title for providing this data.

May’s monthly market reports for Reno and Fernley, Nevada have been published by the Reno-Sparks Association of REALTORS^®. (see links below)
Additionally, the new “Premium Report” for Reno has been published.  The data hounds should enjoy the additional graphs and tables included in the Premium Report.  
As an example, here is a five-year graph of the sold price per square foot by month.
 

Reprinted with permission by the Reno/Sparks Association of REALTORS^®.

• Click here for May 2010’s Reno Monthly Market Report
• Click here for May 2010’s Fernley Monthly Market Report
• Click here for May 2010’s Reno Premium Report