Elk Grove Real Estate Market Update, September 2022

Real Estate Agent with eXp Realty of California, Inc. (lic. #01878277) DRE# 00949880

Elk Grove Real Estate Market Update

September Real Estate Statistics for the Elk Grove, CA area

We are barely holding on to yearly gains for our median and average prices in Elk Grove, but the average price per square foot is even for the year.  Sales volume is was down and days on market are up.  We hit a high in April of $703,000 for the average price of homes sold and then the Fed started raising rates.  Their goal was to slow the labor market down and bring down housing prices.  They have done a good job of driving our prices down in Elk Grove.   Our market is down 8.9% in 5 months.  That is $64,000! 

Here are a couple of interesting tidbits from Motley Fool:

  • US median income is up ~15% since 2019.
  • US median house price is up ~50% since 2019.
  • Mortgage prices have gone from 2.75% to almost 7% this year.
  • The typical home buyer's monthly mortgage payment is up 15% in the last month and a half.
  • The recent rise in rates is causing many people to cancel or delay buying a home.
  • The average earner has to spend 50% of their income on mortgage payments right now.

Elk Grove (and the rest of the country) is still not building enough homes to keep up with demand, but the demand side is getting hit hard, especially when you consider how far the stock and bond markets have fallen this year. 

AAII Investor Sentiment Survey
(American Association of Individual Investors)

This week’s results:
Bullish: 23.9%, up 4.0 points
Neutral: 21.3%, up 2.1 points
Bearish: 54.8%, down 6.1 points

Historical averages:
Bullish: 38.0%
Neutral: 31.5%
Bearish: 30.5%
The good news regarding this survey is that when investors have been this bearish in the past, the stock market has done well the following year.  We will see, but with two or three more rate hikes to go by the Fed and interest rates at 6.7%, I think more downward price adjustments in the housing market are inevitable. Yes, the Fed has done the job they set out to do, namely, they have destroyed a lot wealth. 


The good news is there are a lot more options for you to choose from right now.  There is now over 200 Elk Grove listings available and sellers are more willing to negotiate.  One of my favorite strategies is to look for homes on the market for 30 to 45 days without a price change and submit a reasonable, lower priced offer.  I have always been amazed how many buyers (for my listings) wait for the price change to occur and then make their offer only to be faced with two or three other offers.  The early bird does catch the worm!

There is a chance that prices will fall over the next few months so be careful.  Long term you should be fine, but the short term could be rocky. 


If you have owned your home a few years, then prices are still very good.  I will even be putting my home on the market in the next couple of weeks.  Just make sure the house is looking good and that the price is right.  I have done a lot of open houses lately and buyers just do not have much conviction right now.  Their is nothing compelling them to buy right now so price is very important.

Coming Soon Listings

I have two listing that will be on the market soon.   One is a three bedroom, two bathroom, 1,273 square foot home.  It is cute home with lots of upgrades and a cozy backyard.

The other home is located in Old Elk Grove.  It is a three bedroom, two bathroom, 1,598 square foot home. 


18' Sea Ray For Sale

18' open bow Sea Ray Boat

Do you want to explore the Delta and our nearby lakes?  We are selling our boat.  If you are interested, click here.

Elk Grove Real Estate Market Update, August 2022.


Posted by

             eXp Realty of California, Inc

Raymond Henson, SRES, GRI, e-Pro

Past Client Testimonials   

3412 Babson Drive

Elk Grove, CA 95758





Comments (13)

Jim Patton
Aspire Home Real Estate 209-404-0816 - Modesto, CA
Realtor - Stanislaus ,Merced, San Joaquin Counties

Good market report Ray Henson very similar to what we are seeing to the south of you.

Oct 07, 2022 04:55 PM
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA

Hi and thank you, Jim Patton.  After reading your monthly report, I agree with you.  

Oct 07, 2022 08:35 PM
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Hi Ray,
Thank you for sharing the real estate information.
Buyers and sellers in your area will benefit from your expertise.
Wishing you continued success.



Oct 07, 2022 10:21 PM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Seeing the same here, Ray... higher prices, lower sales, longer days on market. As for spending 50% of income on housing... boggles the mind... and that's true right now for bother homeowners and renters.

Oct 08, 2022 04:38 AM
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA

Thank you, Bob Crane.  I appreciate you stopping by and leaving a comment and hope you are having a successful year.

Oct 08, 2022 04:38 AM
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA

The rents are remarkably high here in the Sacramento region, Nina Hollander, Broker.  My son has a very little place and spends over 50% of his income.  I do not know how he does it.  Have a great weekend!

Oct 08, 2022 04:41 AM
Kat Palmiotti
406-270-3667, kat@thehousekat.com, Broker/REALTOR® - Kalispell, MT
Helping your Montana dreams take root

Interesting that the sale price per square foot has remained steady but bigger homes have been selling, resulting in higher prices. A local real estate expert knows those things! :-)

Oct 08, 2022 04:57 AM
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good morning Ray. You have to do what you have to do when you have to do a it. Been that way since the beginning time. Those that do not lose out. Enjoy your day.

Oct 08, 2022 05:33 AM
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA

Good morning, Kat Palmiotti, and I would say that a great agent, like you, picks up important information quickly.  Well done!  If the houses were not just a little bit bigger, our prices would be flat year over year.

I agree, Wayne Martin.  We had to buy our first home during a market high.  Prices almost immediately went down, but the mortgage was cheaper than renting, we received one heck of a tax write off and we had the enjoyment of owning a home. And our home turned into our first rental and that was a real game changer.  Have a great day too!

Oct 08, 2022 05:54 AM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Ray, your market is very similar to ours, it is increasing, but only a bit.  Great report for Elk Grove.

Oct 08, 2022 07:31 AM
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA

Thank you Joan Cox.  I do think our markets have kind of mirrored each others for some time now.  I am wondering if things will bounce back a bit in the spring.  If I had to make a bet, I wouldn't!  Have a great weekend!

Oct 08, 2022 10:53 AM
Emily Medvec
eXp Realty LLC - Santa Fe, NM
Broker | Realtor | Serving Santa Fe & Northern NM

Elk Grove and Santa Fe markets have too much in common. Days on market up, inventory still low, prices slightly adjusting down along with the rates going up make it beyond challenging to move.

Oct 09, 2022 06:12 AM
Ray Henson
eXp Realty of California, Inc. (lic. #01878277) - Elk Grove, CA

Our markets are similar, Emily Medvec.  Thank you for stopping by and have a great Sunday!

Oct 09, 2022 01:18 PM