What’s Selling in Pacific Grove, CA – Listed vs Sold

Number of Homes For Sale vs. Sold in Pacific Grove, CA

The chart above shows us how many homes are for sale compared to how many homes sold in each month over the past 12 months.  We are able to derive the state of the market as a buyer’s or seller’s market, and the amount of activity that’s taking place in the Pacific Grove Real Estate market.  We can also determine when the most sales activity is taking place and the direction that the market activity is headed.

One indication of a neutral real estate market is having 6 months of inventory.  More than 6 months of inventory is an indicator of a buyer’s market and less than 6 months is an indicator of a seller’s market.  The number of months of inventory can be determined by taking the average number of homes selling per month and dividing that amount by the number of properties currently for sale.  In this instance, there are about 12 months of inventory.

We see a spike in sales in June and August, with July following closely.  We are now in a downward trend, moving into the end of the year which is traditionally slower for home sales.

Homes for Sale in Carmel, CA – What’s selling in Carmel; July 5, 2011

Homes for sale in Carmel, CA

City	Carmel
Dates Analyzed	June 28 through July 5th
Property Type	Single-Family Residential
# of Homes For Sale	171
Avg List Price	$                              2,159,751
Median List Price	$                              1,399,000
# of Homes Sold	4
Avg Asking Price	$                              2,550,750
Avg Sales Price	$                              2,400,000
Achievement Rate	94%
Median Sales Price	$                              1,687,500
Avg Days on Market	94
Notes	Homes are selling in approximately 3 months in Carmel.  This relatively fast under these market conditions.  The average sales price is over 2 million dollars.  But with approximately 16 properties selling per month and 171 active listings, there are about 10 months of inventory.  6 months of inventory is a balanced real estate market.  We are in a buyer’s market.

What’s Selling in Monterey; April 27, 2011

What’s selling this year in Monterey, CA?  Let’s take a look at real estate figures in Monterey, dating back to January 1, 2011…

Single-family residential homes:

• # Active: 87
• # Sold: 38
• Absorption Rate: 9.5 per month
• Current Inventory: 9 months
• Average List Price: $580,797
• Average Sales Price: $546,792 (-6%)
• Median Sales Price: $451,500
• Average Days on Market: 127

Townhouse/Condo:

• # Active: 18
• # Sold: 16
• Absorption Rate: 4 per month
• Current Inventory: 4.5 months
• Average List Price: $292,275
• Average Sales Price: $283,331 (-3%)
• Median Sales Price: $251,450
• Average Days on Market: 136

About 9 single-family residential homes are selling per month in Monterey.  Homes are selling in just under 130 days for about 6% less than their asking price.  9 months of available inventory tells us that we’re still in a buyer’s market.

Condos and townhomes seemed to be more appropriately priced, selling for only 3% less than their asking price.

What’s Selling in Pacific Grove, CA; March 25, 2011

Pacific Grove, CA –

37 homes have sold in Pacific Grove since the beginning of the year.  That’s approximately 12 homes per month.  There are currently 70 homes for sale in Pacific Grove.  With 12 homes selling per month, PG has just under 6 months of inventory.  This is VERY exciting news for the area.

As I’ve shared before, 6 months of inventory is an indicator of a neutral real estate market.  Below 6 months is a sign of a “seller’s market“, above 6 months tells us that we’re in a “buyer’s market.”

For the first time since the first quarter of 2008, the Pacific Grove real estate market appears to stepped over the hump into “Sellersville.”  The market is still very delicate though.  Homes that are not priced properly sit on the market unsold until the seller is willing to adjust the price as necessary to attract today’s savvy buyers.

Here’s why I believe that Pacific Grove is seeing such progress in its real estate market: 1) It’s a great place to visit.  2) It’s scenery is beautiful. 3) Its people are friendly. 4) Its schools are great. 5) Its homes are priced affordably. 6) Its a great place for a family, for empty-nesters, for retired couples, and for tourists.

Pacific Grove fits right in between the lack of a high-quality school district in Monterey and the presence of a high-quality price point in Carmel, making it the perfect place for many people.

The average sales price of the homes that have sold since the beginning of the year is $643,238.  This is almost 97% of the average asking price, which was $665,917.  The median sales price for these homes is $$535k, versus a median asking price of $550k.  Again, a measly 3% difference.  DOM (average days on market) for the homes sold in Pacific Grove this year is 154.

In conclusion, the hot market in Pacific Grove are homes that are priced between $500k and $700k.  Such homes are selling in just over 5 months.

Please feel free to share your thoughts or questions below.  I look forward to our discussion.

Happy Friday!  Finish the week up strong and have a wonderful weekend!

~ Zach