November’s median sold price dipped slightly (less than 1%) compared to October’s median sold price. At least we didn’t witness another 7% one-month drop (as was the scenario last month).
At $218,350, Reno-Spark’s median sold price has now settled solidly below $220,000. Units sold however continue to remain higher than last year’s numbers. For example, November’s 274 sales represents an 18.6% increase over November 2007 sales. Higher year-over-year sales is a trend that we have observed since June of this year. Of course, as has been pointed out numerous times, the bulk of the sales activity is occurring at the lower price points.
For example, 46% of November’s residential sales sold for less than $200,000; 65% sold for less than $250,000; and 78% sold for less than $300,000.
Active listed inventory continues its seasonal decline; and remains lower than last year’s corresponding monthly numbers; therefore months supply of inventory is lower on a year-over-year basis.
| Month and Year | # Houses For Sale | Median Asking $ | # Houses Sold | Median Sold $ |
|---|---|---|---|---|
|
Nov 2008 |
4,490 | $255,000 | 274 | $218,350 |
| Oct 2008 | 4,686 | $260,000 | 385 | $220,000 |
| Sept 2008 | 4,765 | $265,000 | 364 | $236,500 |
| Aug 2008 | 4,798 | $272,100 | 351 | $240,000 |
| July 2008 | 4,892 | $279,000 | 418 | $247,000 |
|
June 2008 |
4,789 | $284,900 | 394 | $255,000 |
| May 2008 | 4,758 | $280,000 | 344 | $255,000 |
| Apr 2008 | 4,533 | $284,500 | 337 | $269,000 |
|
Mar 2008 |
4,213 | $290,000 | 246 | $261,000 |
| Feb 2008 | 4,067 | $294,900 | 221 | $271,632 |
|
Jan 2008 |
4,124 | $299,900 | 191 | $268,000 |
|
Dec 2007 |
4,157 | $307,900 | 249 | $275,000 |
|
Nov 2007 |
4,519 | $310,000 | 231 | $286,000 |
| Oct 2007 | 4,881 | $317,000 | 268 | $288,000 |
| Sept 2007 | 5,023 | $320,000 | 271 | $285,000 |
| Aug 2007 | 5,471 |
$325,000 |
348 | $295,000 |
| July 2007 | 5,416 | $330,000 | 351 | $295,995 |
| June 2007 | 5,371 | $337,000 | 378 | $300,000 |
| May 2007 | 5,177 | $339,900 | 427 | $296,000 |
| April 2007 | 4,928 | $340,000 | 393 | $295,000 |
| Mar 2007 | 4,670 | $340,000 | 391 | $297,000 |
| Feb 2007 | 4,411 | $340,000 | 334 | $285,000 |
| Jan 2007 | 4,691 | $342,000 | 336 | $279,950 |
| Dec 2006 | 4,549 | $344,900 | 347 | $293,995 |
| Nov 2006 | 5,182 | $349,000 | 330 | $300,000 |
| Oct 2006 | 5,640 | $349,900 | 422 | $300,000 |
| Sept 2006 | 5,960 | $352,000 | 396 | $301,000 |
| Aug 2006 | 6,252 | $355,000 | 393 | $310,000 |
| July 2006 | 6,123 | $360,000 | 416 | $324,750 |
| June 2006 | 5,949 | $364,000 | 473 | $329,000 |
| May 2006 | 5,407 | $369,900 | 432 | $318,750 |
| April 2006 | 4,626 | $369,000 | 415 | $317,000 |
| Mar 2006 | 4,295 | $369,900 | 437 | $329,000 |
| Feb 2006 | 3,899 | $374,900 | 326 | $315,250 |
| Jan 2006 | 4,245 | $370,000 | 325 | $325,000 |
| Dec 2005 | 4,040 | $375,000 | 385 | $319,900 |
| Nov 2005 | 4,432 | $376,448 | 443 | $331,000 |
| Oct 2005 | 4,694 | $376,700 | 559 | $335,000 |
| Sept 2005 | 4,567 | $380,000 | 603 | $336,500 |
| Aug 2005 | 4,370 | $385,700 | 695 | $334,950 |
| July 2005 | 3,860 | $387,000 | 677 | $345,000 |
| June 2005 | 3,411 | $384,500 | 607 | $335,000 |
| May 2005 | 3,113 | $375,000 | 717 | $326,000 |
| April 2005 | 2,808 | $365,000 | 650 | $315,000 |
| Mar 2005 | 2,611 | $350,000 | 660 | $309,000 |
| Feb 2005 | 2,198 | $348,250 | 411 | $301,000 |
| Jan 2005 | 2,078 | $349,000 | 381 | $295,000 |
Note: The median table above is updated on a monthly basis. The median home price data reported covers the cities of Reno, Nevada and Sparks, Nevada. Residential data includes Site/Stick Built and Condo/Townhouse properties. Data excludes Manufactured/Modular and Shared Ownership properties. Data courtesy of the Northern Nevada Regional MLS – December 2008.
Ralph
These numbers just reinforce what I said on the other thread about the “high end” market basically being little more than a theoretical concept at this point. There is basically no “high end” market if we are talking about ACTUAL SALES. Just because 250 delusional so-called “sellers” won’t come off their $1 million plus asking prices does not mean that market segment is immune to market forces. It just means they are taking up space on the MLS and nothing more.
smarten
Thanks for the update Guy. Interesting that the rate of decline in the median sales price has slowed down and remains well above $200K.
The “high end” market. To me the high end Reno and Incline Village markets [at least the way they are performing sales wise] are similar. Although I don’t follow Reno as closely as Incline Village, I can report that there is a marked change going on in Incline Village. Although the SFR median sales price hasn’t dropped that much Y2Y, what one can purchase for that median has increased markedly. Although we’re not quite there yet, I think we’re on the cusp of a major change insofar as high end Incline Village SFRs are concerned [what do you think InclineJJ and Paul] and my suspicion is that we’re going to see the same thing happen in the high end Reno SFR market.
I said this nearly a year ago and now I’m seeing this actually play out in the real world – the next four months [at least in Incline Village] are going to present an amazing opportunity for those with the cash and financing. If the high end Reno SFR market follows suit [assuming you’re interested], I would be keeping a close eye on St. James Village and Montreux.
billddrummer
Thanks for the statistics, Guy.
It’s interesting to me that the median sale price seems to be drifting toward $200,000, which is the level at which a median income family can afford a mortgage at median rates.
Upper end buyers are still too few to mention, and as you elegantly point out, only 22% of all transactions involve properties selling for more than $300,000. I would guess that the share of homes selling above $500,000 is less than 5%. Yet I’d guess that more than 30% of MLS listings start at $500,000 (I’m guessing based on the amount of marketing $$$ thrown at these homes.)
Any statistics out there that compare active MLS listings to sales stats by price? Perhaps if a realtor showed those numbers to clients, some rationality would return to the pricing process.
Then again, maybe not.
MikeZ
$218K ?!
Wow … we may actually drop below the $200K median …
Paul
Realtytrac now shows 149 properties in some stage of foreclosure in the 89451 (Incline Village) zip code. I think that Incline is where Reno was, market wise, about a year ago. Sales volume has fallen to shockingly low levels, and serious price capitulation is in the offing soon. I wouldn’t worry about the next four months. As we have seen from the Reno market, it will take some big price adjustments before sales volume picks up. The increase in volume in Reno, so far, has managed only to slow the rate of price declines. The eventual Tahoe market recovery will be slow, and I think we will bounce along the bottom for a while.
Sully
Guy, is the Ticor chart for November out yet?
Guy Johnson
Hi Sully. Sorry for the delay. I’ve been meaning to post the Ticor charts for November for a few days now. Thanks for the reminder. You’ll find them posted now.