This week’s real estate headlines

Here are a few real estate-related stories and news pieces that came across my screen this week…

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How low is the housing inventory in Reno, NV?

If you didn’t catch my recent interview on KTVN Channel 2 News this week, you can watch it here: One Hot Sellers Market: Local Home Sales Break New Records

The segment centered around the record low available inventory in the Reno-Sparks’ housing market.

Because of time constraints of the aired segment, some of what I had presented during the interview did not make it into the final piece. So, today I’d like to provide a bit more data regarding the current record low inventory our market is experiencing.

Utilizing historical sales data that I’ve compiled over the years, I graphed the following inventory trends for the Reno-Sparks market.

In the chart above the red line shows available homes for sale for each month going back to June 2010 [the first month that I began tracking inventory]. Note: Hover over the lines to see the corresponding inventory numbers for each month.

As can be seen in the chart January’s inventory of homes available for purchase is the lowest it has been since I’ve been tracking the metric.

A current active inventory of 165 homes is less than two weeks supply at January’s unit sales of 372 homes sold for the month.

However, the reality of the current extreme low inventory is even more dire than the aforementioned two weeks. Consider that, of the currently available inventory, only about 20 percent are priced at or below the current median sales price. That’s equivalent to 34 homes.

The green line represents the number of homes sold. Despite the huge existing buyer demand January’s home sales were the lowest in two years — no doubt largely impacted by the lack of available inventory.

Sold-to-List Price Ratio

Another topic raised in the news piece was the occurrences of multiple offers, and homes selling for above asking price.

In the piece I describe such instances as “commonplace”.

Though multiple-offers data is not available, one metric we can use to get a sense of the trend of the number of properties receiving multiple offers is to look at the average sold-to-list price ratio. The thought being that the more offers received on a property, the higher the sales price achieved.

The table above shows the sold price as a percentage of asking price over the past five years. Though the percentages do not appear to vary much — ranging from 96% to 99% — some variability and trends can be observed.

One observation is that (other than Q4 of 2020), the 4th quarter of any given year typical exhibits the lowest ratio for that year.

Conversely, the 2nd quarter of any given year typical exhibits the highest ratio for that year — again, not including 2020.

These observations correspond to the typical seasonality of home buyer activity throughout the year.

2020 bucked those trends though. As can be seen in the chart above, the average sold-to-list price ratio for 2020 climbed steadily throughout the year — ending at 99%.

Anyone want to take a guess at what was the average sold-to-list price ratio for January 2021? Well, let’s just say the upward trend observed in 2020 appears to be continuing.

January’s average sold-to-list price ratio was 100%. Meaning that, on average, homes fetched 100% of their asking price. No negotiating price. No discounts.

This upward trend is even more remarkable when one considers that the average sold-to-list price ratio has been climbing even as the median list price has been increasing as well.

The chart above illustrate these trends. [Note: Hover over the bars and data points to see the values for each quarter.] Higher home prices do not seem to be deterring bidding wars. Or is it that the bidding wars are driving the higher home prices? And how high can each of these trends go?

What are your thoughts on the market? How will it shake out in 2021? I would love to see your comments below.


The residential sales data 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. Note: This information is deemed reliable, but not guaranteed.

Posted in Agent Insights, Market Trends, Reno, Sparks | Tagged , , , , , , , , , | 2 Comments

This week’s real estate headlines

Here are a few real estate-related stories and news pieces that came across my screen this week…

Posted in headlines, News | Tagged , | Leave a comment

Northern Nevada regional median home prices – January 2021

Let’s take a look at January’s median sales price data for markets across Northern Nevada.

The table below shows January’s median home sales prices; month-over-month percent change in price; year-over-year percent change price; and number of homes sold. [Note: Click on the column headers to sort by that column.]

Though many markets’ January’s median sales prices were off from December’s, all markets saw substantial year-over-year gains. Incline Village, NV exhibited the greatest year-over-year increase — coming in with a 33.3 percent gain (See Incline Village / Crystal Bay Market Report – January 2021 for a closer look).

If there is an area in Northern Nevada that I have not covered above that you would like to see included, let me know and I’ll add it.


The residential sales data 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, and Incline Board of REALTORS®, February 12, 2021. Note: This information is deemed reliable, but not guaranteed.

Posted in Agent Insights, Carson City, Fernley, Incline Village, Market Trends, Reno, Sparks | Tagged , , , , , , , | Leave a comment

Incline Village / Crystal Bay Market Report – January 2021

January median home sold price hits $2M! January sales down more than half.


Single-family homes

January home sales pulled back sharply from December’s end-of-year home sale rally. 17 SFRs sold in January. That number was down 55.3 percent from December’s 38 homes sold.

Year-over-year, January sales were down 10.5 percent.

DOM (days on market) edged up to 75 days — adding 1 day to December’s number.

Available inventory remains very low. Presently only 26 SFRs are available for purchase. Of these 26 properties, only 8 (or 30.8 percent) are priced at or below the current median sales price of $2M.

That being said home buyers are still purchasing. 31 homes are currently under contract and pending sale. Expect February and March monthly sales to come in at significantly higher year-over-year totals.

As mentioned above, January’s median sales price came in at $2,000,000 — a substantial 15.9 percent jump over December’s median sales price of $1,725,000.

Year-over-year, December’s median sales price is up a whopping 33.3 percent. The demand for luxury homes is showing no signs of slowing — see Luxury Demand — Opulent Homes Selling in Nevada

January’s median sold PPSF (price per square foot) was $821.11/sq.ft. — up 34.0 percent over December $612.78/sq.ft. Year-over-year, December’s median sold PPSF is up 71.8 percent.

Condo/Townhomes

13 condos and townhomes sold in January — down 35.0 percent from the 20 sold in November; however condo sales were unchanged year-over-year.

January’s median sales price for condos/townhomes came in at $750,000 — pulling back 2.6 percent from December’s record-setting high median sales price.

Year-over-year, January’s median condo sales price was up and incredible 76.5 percent.

January’s median sold PPSF for condos/townhomes was $536.50/sq.ft. — a 4.3 percent increase over December’s number; and a whopping 48.0 percent year-over-year increase.

January’s median DOM for condos/townhomes was 53 days — a decrease of seven days from November’s 60 DOM number; and also down 32 days year-over-year.

As always, thank you for reading the blog. I welcome your questions or comments below.


Related: Two Lake Tahoe neighborhoods make list for the top 100 priciest zip codes in the US

Click here to see Incline Village and Crystal Bay homes for sale


Data courtesy of the Incline Village REALTORS® – February 8, 2021. Note: This information is deemed reliable, but not guaranteed.

Posted in Agent Insights, Crystal Bay, Incline Village, Luxury, Market Trends | Tagged , , , , , , , , , , , | Leave a comment

January 2021 Market Report for Reno and Sparks, Nevada

Sales plummet to lowest levels in two years! Available inventory at lowest level ever!


January’s median sold home price for Reno-Sparks came in at $446,702. That number is down 0.7 percent from December’s median sales price of $449,900.

Year-over-year, January’s median closed sales price was up a respectable 10.3 percent.

January’s median sold price per square foot (PPSF) increased to $253.23/sq.ft. — a 0.7 percent increase over December’s sold PPSF of $251.31/sq.ft. January’s median sold PPSF also sets an all-time high for this metric.

Year-over-year, January’s median sold PPSF is up a whopping 17.24 percent!

Homes Sold

Coming off of December’s record-setting number homes sold for any month of December, January’s home sales saw a big drop — coming in at only 372 units sold for the month.

January 372 home sales were off 32.7 percent from December’s 553 homes sold; and were down 5.6 percent year-over-year.

January’s home sales were the lowest observed in two years.

Inventory

Currently there are only 167 homes available for purchase in the Reno-Sparks market! This number is the lowest observed for this metric since I began tracking it.

January’s available inventory is down 23.4 percent from December’s available inventory. And year-over-year, current available inventory is down a staggering 73.1 percent! Yes, last year at this time 621 homes were available for purchase — today there are 167!

And the picture becomes even bleaker when one looks at the available inventory of homes priced at, or below, the current median sales price of $446,702. Currently only 34 homes (20.4 percent) are priced at, or below, the median sales price in the entire Reno-Sparks market.

Surprisingly (given the dismal inventory), 628 homes are presently pending sale in the Reno-Sparks market. That number is up a slight 1.1 percent over December’s 621 pending sales this time last month. However, year-over-year, January’s pending sales are down 11.8 percent.

Days on Market and Days to Contract

January’s median days on market (DOM) came in at 54 days — an increase of 4 days over December’s median DOM. Year-over-year January’s DOM is a whopping 35 days (or 39.3 percent) lower than January 2019’s DOM. These numbers show the relative velocity the current market.

January’s median days to contract (DTC) came in at 4 days — unchanged from December’s median DTC. Year-over-year, January’s DTC number is 26 days lower than January 2020’s 30 DTC.

Sales by Type

January sales by type, break out as follows:

  • REO sales: 0.5% – up over December’s 0.4%
  • Short sales: 0.5% – up over December’s 0.2%
  • Subject to Court Approval sales: 3.0% – up over December’s 1.0%
  • Relocation sales: 0% – down from December’s 0.4%
  • Equity sales: 96.0% – down from December’s 98.1%

Sales by Price

January sales by price band break out as follows…

Sales by Price Segment
sales price ($000’s) units sold % of sales cumulative % of sales
0 – 99 0 0.0% 0.0%
100 – 199 0 0.0% 0.0%
200 – 299 23 6.2% 6.2%
300 – 399 109 29.3% 35.5%
400 – 499 99 26.6% 62.1%
500 – 599 33 8.9% 71.0%
600 – 699 36 9.7% 80.6%
700 – 799 18 4.8% 85.4%
800 – 899 15 4.0% 89.5%
900 – 999 8 2.2% 91.7%
1M+ 31 8.3% 100%
total 372 100%

January’s median sold price for houses and condos combined was $417,995 — a 1.6 percent decrease from December’s median sold price of $425,000 for combined sales of houses and condos. Year-over-year, January’s number is up 8.1 percent.

The table below contains the past 13 months of data[1]

Past 13 Months of Home Sales Data
Month Year # Sold Median Sold Price Sold Price per Sq Ft Median DOM # of Actives # of Pendings
Jan 2020 372 $446,702 $253.25 54 167 621
Dec 2020 553 $449,900 $251.31 50 218 621
Nov 2020 605 $452,500 $242.95 52 278 797
Oct 2020 630 $455,500 $237.11 50 385 979
Sep 2020 699 $440,000 $239.25 49 432 1,013
Aug 2020 658 $442,450 $228.32 54 468 1,068
Jul 2020 750 $433,160 $229.14 57 588 1,037
Jun 2020 565 $407,000 $223.21 58 688 1,062
May 2020 404 $399,900 $222.46 57 720 1,048
Apr 2020 392 $415,500 $219.95 51 812 697
Mar 2020 518 $415,000 $221.74 56 774 658
Feb 2020 460 $392,750 $211.79 78 587 816
Jan 2020 394 $405,000 $215.99 89 621 712

1. The “Past 13 Months of Home Sales Data” 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 – February 3, 2021 [Data revised February 7, 2021]. Note: This information is deemed reliable, but not guaranteed.

For historical home sale data dating back to 1998 click here.

Click here to see Reno Homes for Sale.

Posted in Agent Insights, Market Trends, Reno, Sparks | Tagged , , , , , , , , , , , , , , , | 4 Comments

This week’s real estate headlines

Here are a few real estate-related stories and news pieces that came across my screen this week…

Posted in headlines, News | Tagged , | Leave a comment

This week’s real estate headlines

Here are a few real estate-related stories and news pieces that came across my screen this week…

Posted in headlines, News | Tagged , | Leave a comment