Folsom Home Sales Drop 30% – Dip or Blip?

September 14, 2017

Folsom Sales August 1

Folsom home sales declined sharply in August, closing only 74 units, compared to 105 in July, and 105 for August 2016.

What’s the cause?  I’m not quite sure. Interest rates remain low, as does unemployment, and the experts say the economy is steadily improving.

folsom average price sold august 2017

Are buyers resisting the rising prices? Perhaps, but if you look at the average price of sold homes,  it’s been hovering between $530,000 and $555,000 for the past few months.

Considering that there is a 30 to sometimes 60 day escrow period, August closings are the result of June and July sales activities.

Were home buyers on vacation? Staying out of the heat?  Or, is this a sign of a slow-down in the market?

With prices in some areas near or even above the levels of 2005, many fear a correction, or even a crash, and they’ll look at that 30% drop in sales as a sign of the Apocalypse.

Before we hit the panic button, thought, note that pending sales actually spiked in August. There were more home buyers, 25% more, getting offers accepted in August than in July.

So for now, with low interest rates, low unemployment, a growing population, and fewer homes being built, I don’t think we’re headed for a correction, but I’m keeping my fingers crossed.

Some fun facts for you for the month:

  • Average price of homes on the market in Folsom in August: $667,000
  • Average price of homes SOLD in Folsom in August: $543,000
  • Average price per square foot for SOLD homes: $253
  • Number of homes for sale in Folsom right now: 123 (plus 14 condos)
  • Number of homes for sale in Folsom priced below $400,000 – 14 (plus the condos)
  • Age of my grandson – 8 months

henry on car

Til next time…

Or if you want to contact me, I’m Steve Heard, Folsom Realtor –

Keller Williams Realty, owner of MyFolsom.com – 916 718 9577 – Lic 01368503

 

 

 

Filed under: Folsom, Real Estate


No Comments

No comments yet.

RSS feed for comments on this post.

Sorry, the comment form is closed at this time.