Sacramento Real Estate Listing Inventory September 2012

Where have all the Sacramento home listings gone? Well , there are not as many homes on the market in MLS. AND the homes that are listed are selling quickly. Our absorption rate in Sacramento is amazing - we have less than one month's worth of housing inventory on the market. In fact, we have nine tenths (0.9) of a month of for sale housing inventory here in Sacramento County. I am seeing multiple offers on my listings, and it's really competitive out there. I have six theories as to why there are not too many homes on the market right now. When I wrote my "Six Theories" post in May of this year, interest rates were higher then than they are today -- they were around 4% vs. 3.25% today for a 30-year fixed loan -- and our median home price in Sacramento has increased from $167,000 in May to $180,000 last month in September. Statistics don't lie...the market is HOT! I think most home buyers have decided now is the time to buy...and with prices increasing, perhaps folks who need to sell will decide now is the time to sell...