Home sales cooled in April while home prices continued to rise, and for the first time in nearly three years, the number of active listings increased after nearly two straight years of double-digit declines, according to the California Association of Realtors.
C.A.R. reports statewide sales of single-family homes totaled 416,790 units in April, down 1.7 percent from 423,990 in March and up 2.2 percent compared with April 2017 sales. Home prices, on the other hand, maintained strong year-over-year growth across the state, with the median price jumping 3.5 percent in April to $584,460 from $564,830 in March and rising 8.6 percent from $537,950 in April 2017.
"After increasing year-over-year by more than 8 percent for the past three months, the California median home price is close to striking distance of the pre-recession peak price of $594,530, which was recorded in May 2007," said Leslie Appleton-Young, C.A.R. senior vice president and chief economist. "With a continued imbalance of supply and demand, we'll likely break previous price records - which many areas have already done - before the summer is over."
The Bay Area continued to lead the state in home sales and price increases. Santa Clara, Contra Costa and Sonoma recorded healthy annual sales gains of 8.7 percent, 7.1 percent, and 6.8 percent, respectively. Alameda County recorded a double-digit annual sales gain of 14.5 percent.
Prices in six of the nine Bay Area counties increased double-digits on a year-over-year basis. Additionally, at $969,300, Alameda County is on the cusp of hitting a median home price of $1 million.
Santa Clara County's April median price was $1,425,000, up 22.8 percent from April 2017 and down 2 percent from the March 2018 median of $1,454,000. San Mateo County's April median of $1,770,000, was a 9.6 percent jump from the March median of $1,615,000 and 18 percent higher than April 2017's median of $1,500,000.
Statewide active listings finally reversed nearly three years of decreases after rising 1.9 percent in April. The statewide unsold inventory index edged up to 3.2 months in April, compared with 2.9 months in March and 3.3 months in April 2017.
MLSListings reports April's inventory rose by 39 percent from March in both Santa Clara and San Mateo counties. In Santa Clara and San Mateo counties the index was at 1.6 months and 1.9 months, respectively, compared with 2 months in April 2017.
"After a decline in active listings, we're seeing an improvement in inventory. As we enter the traditional home buying season, more sellers are thinking it's a good time to sell, and this is encouraging for prospective buyers," said Bill Moody, president of the Silicon Valley Association of Realtors. "In Santa Clara County, there were 926 homes for sale in April, compared with over 700 properties in March. As of May 21, Santa Clara County has 1,291 properties on the market. That's an increase of 365 properties since April."
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
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