Posted Under: Nevada County Home & Land Statistics,Real Estate
Prices in Nevada County continued in a downward direction during 2008 compared to 2007. The average price for residential homes sold in 2008 was $407,973 compared to $493,261 in 2007. This is a seventeen percent drop in the average home price sold in Nevada County. The average time on the market in 2007 was 98 days compared to 133 days in 2008, taking twenty six percent longer to sell a home. There were 1,481 homes listed in 2007 and 489 of those listings sold. In 2008 there were 1,248 homes listed of which 392 homes sold.
Land sales for 2007 indicated that the average sales price was $222,827. There were 393 listings, of which 95 of the listings sold. In 2008 the average sales price was $203,894. There were 291 listings of which 65 listings sold. Sales prices dropped eight percent in 2008. Days on the market for land went from 122 days in 2007 to 209 days in 2008.
How much longer prices are going to continue to fall is anyone’s guess. You can listen to ten economists and get ten different answers. Although the interest rates are at an all time low, the banks have tightened lending requirements. Unless you have excellent credit and can show a good income stream, it is very hard to get a loan. In talking to a local bank the other day, I was informed that even for an equity loan, you have to have full documents, good credit (In the 700’s FICO score) and so on.
We seem to be doing well in Nevada County compared to other areas. For example here are some nationwide statistics:
The decline in residential property prices appears to be slowing according to preliminary data from First American CoreLogic.
A preview of its November report shows that home prices fell 9.6 percent last month, compared with 10.4 percent in October and 11.2 in September.
“The consistent deceleration over the past two months with November indicating the same trend in price declines is encouraging because it could portend the trough in price declines”, says Mark Fleming chief economist for First American CoreLogic.
Still, layoffs and the swollen supply of unsold homes remain a concern, he notes.
Source: American Banker (12/29/08)
Contact Email John O’Dell
Real estate broker, civil engineer and general contractor