Market Snapshot (SFRs and Condo/Townhomes)
The Reno/Sparks real estate market in January 2026 signals a noticeable shift, with a significant month-over-month decline in closed sales and a slight dip in median prices, even as inventory builds. Overall closed sales plummeted by 28.6% from the previous month, while the median sale price saw a 2.8% decrease, settling at $525,000, suggesting a cooling period for the region. This trend is further underscored by a 23.3% increase in months of supply, indicating a gradual move away from the intense seller’s market conditions seen recently.
🏠 Single Family Residences
Single Family Residences (SFR) in Reno/Sparks experienced a marked deceleration in January, characterized by a notable contraction in sales volume and a softening of median prices. Closed sales for SFRs dropped significantly by 27.5% month-over-month to 282 transactions, with the median sale price falling 5.6% from December to $552,500. Despite this monthly dip, the year-over-year median price decline was a more modest 3.9%, while sales were down 3.8% from January of last year, suggesting a broader trend of market adjustment. Homes continued to sell close to asking, with a strong 98.4% Sold/Original List Ratio, though this is slightly lower than previous peak periods.
Market timing metrics indicate a slightly slower pace, with the Median Days on Market increasing 5.6% month-over-month to 75 days, and Median Days to Contract standing at 30 days. Inventory for SFRs remains relatively tight at 2.2 months of supply, which, despite a 20.4% month-over-month increase, still points to a seller-favored market, albeit one with more available options. Active listings stood at 632, with 490 pending, suggesting a steady stream of interest, even if conversion rates have slowed.
The prevalence of price reductions highlights the need for sellers to adjust expectations in this evolving market. A substantial 36.2% of SFR sales involved a price cut, with a median reduction of 4.0% or $25,050 for those properties. This indicates that buyers are becoming more discerning, and sellers who price aggressively or are unwilling to negotiate may face longer market times. For sellers, strategic pricing is paramount, while buyers are beginning to find more opportunities for negotiation and a slightly less frenzied purchasing environment, with cash sales making up 20.2% of transactions.
SFR Sales by Price Range
| Price Range | Sales | % of Total |
|---|---|---|
| Over $1M | 29 | 10.3% |
| $750K-$1M | 38 | 13.5% |
| $600K-$750K | 48 | 17.1% |
| $500K-$600K | 76 | 27.0% |
| $400K-$500K | 75 | 26.7% |
| $300K-$400K | 15 | 5.3% |
| Under $300K | 0 | 0.0% |
🏢 Condos & Townhomes
The Condos and Townhomes segment presented a mixed picture in January, demonstrating resilience in pricing amidst a substantial slowdown in transaction volume and a notable increase in inventory. While closed sales for condos and townhomes saw a significant 33.7% month-over-month decrease to 55 units, and a 17.9% year-over-year decline, the median sale price actually surged, increasing 8.5% from December to $375,000 and an impressive 7.8% year-over-year. The Sold/Original List Ratio remained competitive at 97.0%, albeit slightly lower than SFRs, suggesting some room for negotiation.
Market timing for condos and townhomes extended notably compared to SFRs, with a Median Days on Market of 95 days and a Median Days to Contract of 54 days, indicating a longer sales cycle. Inventory levels for this segment expanded significantly, with Months of Supply jumping by 37.5% month-over-month to 4.1 months. This places the condo/townhome market squarely in balanced territory, moving away from the seller’s market conditions, with 224 active listings and 107 pending.
Price reductions were more prevalent in the condo/townhome market than for SFRs, with a substantial 54.5% of sales involving a price cut, reflecting increased competition among sellers and greater buyer leverage. The median price reduction for these properties was 4.7% or $20,000. This disparity from the SFR market, where fewer properties saw reductions, suggests that while median prices are rising, individual units may require more aggressive pricing strategies to attract buyers. Buyers of condos and townhomes now face a more balanced market with more choices and negotiation power, especially compared to the still-tight SFR market, with cash sales at 14.5%.
Condo/Townhome Sales by Price Range
| Price Range | Sales | % of Total |
|---|---|---|
| Over $1M | 0 | 0.0% |
| $750K-$1M | 0 | 0.0% |
| $600K-$750K | 1 | 4.0% |
| $500K-$600K | 0 | 0.0% |
| $400K-$500K | 3 | 12.0% |
| $300K-$400K | 7 | 28.0% |
| Under $300K | 14 | 56.0% |
Financing Breakdown (All Properties)
| Loan Type | Sales | % of Total |
|---|---|---|
| Conventional | 186 | 55.4% |
| Cash | 65 | 19.3% |
| FHA | 47 | 14.0% |
| VA | 31 | 9.2% |
| Private | 4 | 1.2% |
| Seller Financed | 2 | 0.6% |
| Other | 1 | 0.3% |
Sales by City
| City | Sales | Median Price |
|---|---|---|
| Reno | 229 | $529,000 |
| Sparks | 107 | $515,000 |
Market Outlook
January’s data paints a picture of a Reno/Sparks market undergoing a significant adjustment, transitioning from the intensely competitive environment of recent years. With an overall Months of Supply increasing to 2.5, the market is moving closer to balanced conditions, though SFRs remain in a seller’s advantage at 2.2 months, while condos/townhomes are firmly balanced at 4.1 months. Buyers will find more inventory and potentially greater negotiation power, especially in the condo and townhome segment, while sellers must now prioritize strategic pricing and presentation to stand out. Investors should keenly observe these diverging trends between housing types, as the market begins to reward patience and well-informed decisions over rapid, speculative moves.