EL DORADO HILLS, CA HOME SALES DATA – MAY 2012
The purpose of this post is to provide those interested in the El Dorado Hills, CA housing market data about that market. This report covers May 2012, and the fourteen previous months.
The first chart lists the cost-per-square-foot for all homes sold in El Dorado Hills by month. Although there is a slight fluctuation from month to month, the viewer can see that there is no downward trend. In fact, the opposite seems to be true. When we look at year-over-year prices, May of 2011, was the same as May of 2012. We submit that the market is bumping along at the much-touted “bottom.” Those potential buyers who decided to remain on the fence, “until prices hit bottom” no longer have a reason to wait.
The second chart shows the level of inventory, (the number of homes for sale divided by the number of homes sold each month). The May inventory level dropped to a 1.7-month supply, down from a 1.9-month supply in April. Pundits tell us that a six-month inventory is a neutral market.
We can see that the El Dorado Hills market is, and has been for some time, a seller’s market. We have been bumping along in the two to four month range for the past year.
The media is finally starting to realize that the market has changed.
Over a year ago, we posted an article warning about the pending housing shortage. We continue to stand behind that prediction. All you have to do is ask those actively looking for a home.
It is going to get worse. The demand will result in price increases and with those increases; more homeowners will put their homes on the market. Unfortunately, without any new home construction in the past five years or more, we will still be short of inventory.
If you would like to see this data for other cities and towns in our area, feel free to contact us at (916)337-0658 or e-mail Mike@BuyYourVilla.com.
To use the very best Internet property search tool go to www.BuyYourVilla.com.
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