Auburn CA Real Estate Slow Down? Nope.

10 Jan Auburn CA Real Estate Slow Down? Nope.

As we enter 2015 in the Auburn CA real estate market, I’ve basically learned that the real estate markets in general are less and less predictable. For example, looking back, I heard interest rates were supposed to rise, but going into 2015, they have done the opposite and have dropped.  Looking back over the last 2014 quarter in Auburn, CA, I was curious if buyer activity slowed in the Auburn market area heading into 2015 and found the opposite to be true.

Sales vs. Listings- Regarding the number of homes on the market in Auburn (area 12301), while the trend showed an increase from January 2014 to September 2014, inventory has decreased since this September’s peak while the total number of sales have been stable. Will this trend continue or will inventory level off? We’ll have to wait and see.

Median and Average Prices- Regarding the Auburn average and median sales price, the graph shows that these prices have been somewhat fluctuating and generally stable. However, the average price has increased each month since September. This coincides with the downward shift in inventory as noted above. Sometimes the median and average charts can be impacted by a disproportionate number of lower or higher priced sales. We’ll soon find out if this upward trend is short lived or will continue into early spring.

Price per Square footage (SF)- Further, it is always good to cross check data.  I like to also look at the price per SF analysis to verify if the median and average price trends are consistent with each other. In this case, the price per SF also increased since September. So, this graph coincides and supports the median and average sales price graphs.

Summarizing, Auburn did not experience the typical late fall/holiday seasonal slow down that can typically happen this time of year. On the contrary, the market was very active and robust in the Auburn CA market areas. I’m curious how this recent trend will continue as 2015 begins. Observing the market as a whole, the upward price trend has been short-lived and may be reflective of many buyers taking advantage of the more recent downward interest rate movement. While somewhat simplistic, I believe closely watching interest rates and the ratio of inventory vs. pool of buyers will give an indicator of where the market may head going forward into 2015 for not only Auburn, but many surrounding market areas.

Disclaimer: All information deemed reliable but not guaranteed. The information is meant entirely for educational purposes and casual reading only and is NOT intended for any other use.  This information is NOT intended to support an opinion of value for your appraisal needs or any sort of value conclusion for a loan, litigation, tax appeal or other potential real estate or non real estate purpose.  If you’d like to obtain and order an appraisal for your specific needs, please contact Bryan at 530-878-1688 for more information.