Reno-Sparks, NV median home sales and prices tick up in February!
The median home sales price for the Reno, Nevada metro increased to $515,000 in February — a 1.0 percent increase over January’s median sales price of $510,000.
Year-over-year, February’s median sales price is down 7.4 percent.
Despite the uptick in the median sales price, February’s median sold price per square foot (PPSF) dipped to $286.73/sq.ft. — a 0.8 percent decrease from January’s sold PPSF.
Year-over-year, February’s median sold PPSF was down 8.8 percent.
As predicted in last month’s market report, home sales rose in February. The 276 homes sold in February represents a 15.5 percent month-over-month increase. That being said, year-over-year, home sales are down 27.0 percent!
Available inventory fell 14.7 percent from this time last month. Only 550 homes are currently available for purchase in the Reno-Sparks market — representing just a two months supply of inventory.
Prospective home sellers are reluctant to place their homes (with a mortgage at 3%) on the market, and then have to purchase with a new mortgage at 7%.
Despite the monthly drop in available inventory, year-over-year, available inventory is up 104.5 percent.
523 homes are presently pending sale in the Reno-Sparks market. That number is up 12.5 percent from January’s 465 pending sales this time last month; however, is down a notable 29.1 percent, year-over-year!
Given the number of pending sales, March sales should come in higher than February’s.
Days on Market
February’s median days on market (DOM) came in at 86 days — unchanged from January’s median DOM. Year-over-year, February’s DOM is double February 2022’s DOM number.
Sales by Price Quartile
Note: This market report features a new chart — a Quartile Chart. The quartile chart shows the changes to the 1st, 2nd, and 3rd quartiles of monthly median sale prices spanning the most recent 13 months.
This interactive chart allows readers to compare sales price trends within a quartile to the trends in the other quartiles. For example, as can be seen in the chart below, home prices in quartiles 1 and 3 (the lowest-priced houses and the highest-priced houses, respectively) fell for the month; while home prices quartile 2 (mid-priced houses) rose in February.
SFRs and Condo/Townhomes
February’s median sold price for houses and condos combined was $485,000 — a 1.5 percent increase over January’s median sold price of $478,000 for combined sales of houses and condos. Year-over-year, February’s combined number is down 6.6 percent.
13 Months of SFR Sales Data
The table below contains the past 13 months of data…
|Month Year||# Sold||Median Sold Price||Sold Price per Sq Ft||Median DOM||# of Actives||# of Pendings|
1. The residential housing market data reported on above covers the cities of Reno, Nevada and Sparks, Nevada [NNRMLS Area #100]. Market data includes SFR (Single Family Residence) properties only. Data excludes Condo/Townhouse, Manufactured/Modular properties. Data courtesy of the Northern Nevada Regional MLS – March 6, 2022. 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.
I was wondering if you have an opinion on why houses which didn’t sell late last year despite their price cuts are showing back up on the mls at the original listing price before the price cut? Why would a Realtor even agree to such a listing?
The prices are so far divorced from the market that they have no hope of selling. They are now, in many cases, hundreds of thousands more than where the market is. What would motivate a Realtor to accept such a listing that will clearly never sell? Are some agents not even aware of the massive drop in prices?
This doesn’t even get into the math aspect of mortgage rates for these houses and the increased monthly cost of ownership vs when they first hit the market last year. These people are chasing the market down, which will hurt them very badly financially in the long run. They could have sold near peak pricing had they priced it right to begin with.
I’m struggling to understand the psychology behind ignoring current sales prices when listing a house for sale. Thank you.
Thank you for your comment and question. Your question got me wondering the same. However, I was not readily coming up with an answer to it, so I thought I would get ChatGPT’s take on it. Here is ChatGPT’s response:
Your question about why some houses which didn’t sell despite price cuts late last year are being relisted on the MLS at their original listing price is a good one.
There can be various reasons why a seller may decide to relist their property at its original listing price. For example, they may have received advice from another agent or from friends and family that their property is worth more than the current market value. They may also be emotionally attached to the property and unwilling to accept that it is worth less than what they initially believed.
As for the realtors who accept such a listing, it’s important to remember that ultimately it is the seller who makes the decision on the listing price. However, a good realtor should provide their clients with a thorough market analysis and advise them on the current market conditions and pricing trends to help them make informed decisions.
It is true that if a property is overpriced, it is unlikely to sell and may end up sitting on the market for an extended period of time. This can be costly for the seller in terms of time, effort, and money spent on marketing and maintaining the property. As you noted, chasing the market down can have significant financial consequences.
Overall, pricing a property correctly is crucial to ensure a successful sale. A good realtor should be knowledgeable about the local market and provide their clients with accurate and timely information to help them make informed decisions.
Thank you for your insightful comment, and I hope this response provides some clarity on the issue.
As always, thank you for reading the blog!