Our Folsom mortgage lender team has been keeping a close eye on the ups and downs that the pandemic has had on the real estate market. Concerns about a second wave and restrictions still have many being cautious about borrowing, buying, and selling. Here’s where things currently stand on Folsom and its surrounding areas.
Housing Market for September 2020
The Folsom housing market is very competitive at this time. Lots of homes are getting multiple offers and some sellers have waived contingencies in some cases. Homes tend to sell for their list price and spend an average of 11 days on the market. Homes that are hot are even selling 2% over their listing prices and get snapped up in 5 days.
Median home values for Folsom are $604K and the average rental price is $2,400 a month. For both family homes and condominiums, the average value is around $590K, a rise of 4.5% since last year. Experts are predicting there will be a further rise of 4.5% within the next 12 months.
In El Dorado Hills, the average home price is $750K, which is up 12.8% from this time last year. The market is fairly competitive and most homes spend an average of 19 days on the market. Homes here are also getting multiple offers, with some getting 2% over the asking price.
Orangevale also continues to be a highly competitive market, with the average home price at $472K, which is up 28.0% since this time last year. Some homes sell for 1% over the asking price and spend an average of 7 days on the market.
Looking at the Sacramento area as a whole, home prices are averaging 367K, which is up 9.6% from this time last year. Also a competitive market, homes are spending an average of 10 days on the market, with some selling for 1% over the asking price. Hot homes can sell for 4% over with homes staying on the market for an average of 5 days.
Buying and Selling
California has shown itself to be resilient, even with the pandemic going on. There was a slight dip in home sales due to the wildfires in September, but prices continued to rise and experts are saying that things will start to pick up again. There has also been a rising trend in buyers snapping up homes with more space, with people looking to move away from crowded areas into the suburbs. With house prices being at their highest and continuing to rise, this makes a great time for selling your home this Autumn. Buyers are back in the market and homes are being snapped up fairly quickly in most areas.
However, the question remains regarding future effects of the pandemic, whether we will see a second wave with more restrictions being put back in place. The unemployment rate can also impact the housing market if more jobs are lost due to the pandemic. While the market here has bounced back, there is still uncertainty and many still have a wait and see mindset.
If you have questions about the current mortgage rates and market, give our Folsom mortgage lender team a call today!