Wondering what's going on with the Davis, CA real estate market? Every person I know asks how things are in the Davis Real Estate Market. Let me just share some numbers taken directly from Metrolist over the past few days.
I like to look at absorption rate (among other variables) of local markets. Absorption rate is the number of months it will take to absorb current inventory based on sales history. This can be done looking at previous sales for the last month, 6 months, 1 year, etc. Looking at each interval can give a person an idea of whether inventory is shrinking or growing.
In order to determine the absorption rate for a particular market such as "condos in Davis"...you
1) determine the number of condos that sold over the past year
2) divide by 12 to find the average number of condos that sell each month
3) divide the current inventory by that number
4) the resulting number is the absorption rate (or number of months it will take to absorb current inventory).
Some industry experts say less than five months of inventory is considered a buyers' market.
As you can see from the far right column in the table below, some categories have fairly limited inventory (namely >$500k single family homes). Some categories have a sizeable inventory (ie: >$800k). This could probably be attributed to the fact that homes in this price range are generally considered "move up" homes. Many homeowners are uncertain about whether or not now is a good time to buy and/or sell. Well, if you have an entry level home in Davis to sell, and are looking to purchase a move up home...it appears to be a pretty good market for you!
If you would like to know whether it is a good time to buy or sell in Davis, CA let me calculate statistics based on your specific scenario and give you my opinion. I welcome all real estate questions!
| Davis | Active | Pending | Sold last 30 days | Sold last 6 mos | Sold last 12 mos | Avg Sales Per mo past 6 mo | Avg Sales per mo last 12 mo | Mos Inv based on last 12 mo | Mos Inv based on last 6 mos | Mos Inv based on last 30 days |
| Condo | 29 | 12 | 5 | 15 | 43 | 2.5 | 3.58 | 8.09 | 11.6 | 5.8 |
| Halfplex | 15 | 5 | 1 | 5.00 | 34 | 0.83 | 2.83 | 5.29 | 18.00 | 15.00 |
| SFH | 129 | 56 | 20 | 29.00 | 342 | 4.83 | 28.50 | 4.53 | 26.69 | 6.45 |
| SFH > $500k | 29 | 24 | 10 | 38 | 117 | 6.33 | 9.75 | 2.97 | 4.58 | 2.90 |
| SFH < $500k | 96 | 33 | 9 | 56 | 224 | 9.33 | 18.67 | 5.14 | 10.29 | 10.67 |
| SFH =/< $800k | 37 | 8 | 2 | 13 | 50 | 2.17 | 4.17 | 8.88 | 17.08 | 18.50 |
I look forward to hearing from you...
Lori Prizmich, Realtor
Keller Williams Realty
The Lori Prizmich Team
530 845 3325 (cell)
530 231 2988 (fax)
http://www.loriprizmichhomes.com/
REO Default Certified Professional Top 20 Regional GCI YTD 2008 Voted #3 Best Real Estate Agent Yolo County Top Buyer's Agent - 2007 Top Producer - 2005, 2006, 2007
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Hi, Lori,
If I'm reading your numbers aright, it looks like things aren't so bad in the Davis real estate market these days!
PS- have you finished all those CRS courses yet?
Hi Laura! Great to hear from you. Things are fine in the entry level, but somewhat soft as you go up the price range. I did the CRS Listings Course which was awesome. I will send you an email separately... :o)