News You Can Use and Market Reports January, 2024

Dear clients and friends:

Happy New Year! Our monthly blog includes Area Reports for all of Sonoma County and Market Reports for the Sonoma Coast and more.

Sonoma County Inventory trend: These numbers tell a story about the Sonoma County real estate market from 2020 through 2023. In 2020, the first year of Covid, demand surged for properties in less densely populated areas like Sonoma County. That year, 5,926 properties sold county wide. As demand intensified in 2021, 7,570 properties sold county wide that year. In 2022 the number of sold properties for the county fell to 5,189. In 2023 there were historically low inventory rates in Sonoma County reflecting the lack of available properties for sale. Only 4,022 properties sold county wide in 2023.

A factor that helped create such a low inventory environment was the rise in interest rates in 2022-23. Many homeowners who had a low interest rate on their current mortgage, were reticent to trade for a substantially higher rate for a new home. Given that buyer affordability was being impacted by the rates, potential sellers feared that would affect the value of their home. Many would-be sellers stayed on the sidelines. However, due to so few properties being available, most home values remained stable or increased: a good demonstration of the law of supply and demand.

In October of last year, average interest rates reached a high of 7.8%. Now, the rate for a 30-year fixed mortgage is averaging around the 6.5% range, and the Fed has indicated additional rate cuts may be coming in 2024. Motivated buyers are coming back in the market and as interest rates decrease, their buying power increases. We anticipate 2024 will be quite an active year for real estate in Sonoma County.

SONOMA COUNTY COMMUNITY AREA REPORTS

Here are the December 2023 reports analyzing data as it affects these specific market areas. The Market Summaries below offer a look at sales activity for the prior month and year, along with current and past year-to-date statistics. The graphs cover several different aspects of the real estate market. Note how some of the graphs break out trends by price increments. Please contact us if you would like more information on the current market.

• SONOMA COUNTY AREA REPORT
• SEBASTOPOL AREA REPORT
• SANTA ROSA AREA REPORT
• WINDSOR AREA REPORT
• HEALDSBURG AREA REPORT
• PETALUMA AREA REPORT
• COTATI/ROHNERT PARK AREA REPORT
• CITY OF SONOMA AREA REPORT
• CLOVERDALE AREA REPORT
• BODEGA BAY AREA REPORT

COASTAL MARKET REPORTS

Below are links to our Coastal Market Reports ending December 31, 2023. Each of these market reports include Active, Under Contract and SOLD properties for the last 12 months. A Market Snapshot is followed by a Market Summary, then the Local Inventory shows full details of every property included in that report.

• BODEGA HARBOUR HOMES
• BODEGA BAY HOMES
• BODEGA BAY LOTS AND LAND
• JENNER & TIMBER COVE HOMES
• THE SEA RANCH HOMES
• GUALALA HOMES
• DILLON BEACH HOMES

If you’re thinking of selling or want to know your property’s value, we’d be happy to provide you with a free in-depth analysis, share our exclusive marketing plan and consult on pre-market improvements.

If you’re looking to purchase a property in Sonoma County, we have the tools to help you achieve your real estate goals. Just give us a call or text us at (707) 206-2109. Or email Laura@LauraRichards.Net. We love hearing from you!

Sincerely,

Laura Richards & Kent Byers
Global Luxury Specialist, Broker Associate
Mobile: (707) 206-2109
Email: Laura@LauraRichards.Net
CalBRE #01354895 & CalBRE #01013997

Website: SONOMACOUNTYHOMES.NET   Like us on FACEBOOK 

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