New and Resale Homes sales trends as of December 2009

Above, we see 24 months of sales activity from the Shasta MLS. In this case, we have limited the data to the Greater Redding area, which roughly extends from Shingletown to French Gulch, and from Lake California to Lakehead. 173 homes sold in Dec 09, which is a pretty low number in itself. But if you think about it, roughly 3-4 homes a day are selling every day in our area. About 1 in 3 are foreclosures, so that leaves a couple of regular homeseller sales every day, which is really not as bad as the media seems to make out. The main bar graph shows that we have 6 months of inventory at our current rate of sales. So if we got no new listings, we would sell out of housing in 6 months. This is a decline to a level we have not seen for a long time.

We have been seeing an increase in sales of homes, especially in the range under $200K. There is a lot of first-time homebuyer activity. We think much that is the result of the $8000 first time homebuyer tax credit. There is alos up to $6500 available to any repeat buyer. Both those tax credits are rapidly coming to an end.  If you were thinking of listing your house, you should do so quickly. If you are a buyer, the interest rates have seldom been this favorable.

Prices are low, interest rates are low. The future may not see interest rates like this for a long time.

That means something. If you are sitting on the fence waiting for the bottom to buy, you should pay attention. I'm not calling bottom yet, but it may be in sight. Don't believe the media hype, look at the evidence. Inventory is down.

In case you were wondering what the sales of bank-owned and Short Sales looks like this year, I did this analysis:

  I hope this information is useful. I'm sure it might be confusing. If you have any questions please call (530)244 7603 and we can chat.

Below is the latest graph of California Statewide prices that I can find from the California Association of Realtors. It certainly tells the tale without any sugarcoating.  Nonetheless, the trend is clear. Prices are down. We are not as badly hit here in the Redding area as the rest of the state, but we're down too.

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Wouldn't it have been smarter to have a slow and steady climb instead of this bubble? Where was common sense...?

And look at the uptick. We think that's driven by the tax credit, but low rates are having an impact too.

The information above is taken from the Shasta MLS as compiled by Skip Murphy of Coldwell Banker C&C Properties. The data is provided for informational purposes only and is deemed reliable but unconfirmed. Any subsequent use of this data or images is by permission only. Contact me, I give permission readily. (530) 244 7603

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You can always view the latest Redding Area Foreclosures HERE. And Skip's blog is HERE.  Thanks, Skip