The Sacramento Market March Snapshot

This week, the median list price in Sacramento is $517,000, with the Market Action Index (MAI) holding steady at 52—the same as last month. This indicates we’re still in a strong seller’s market, but there are some interesting shifts happening.

• The price per square foot remains nearly unchanged at $$comparedto\; \$$339 last month.

Inventory Is on the Rise

One of the most notable trends this month is the increase in active listings. We’re now at 647 active listings, up significantly from the mid-January dip of 492 listings.

To put this into perspective, let’s compare it to a year ago:

• Active listings have nearly doubled—from 381 in February 2023 to 647 today.

• Homes are spending a median of 28 days on the market, the same as last year. However, it’s worth noting that some homes are sitting longer, while properties that are priced and marketed correctly are selling quickly.

Year-Over-Year Comparisons

Here’s how the market stacks up against February 2023:

• Price per square foot: $vs.$332 a year ago—showing remarkable consistency.

• Price reductions: 33% of properties have seen price decreases, compared to 31% last year.

While these numbers suggest stability, the increase in inventory is creating more opportunities for buyers, especially those looking for affordable options.

Mortgage Rate Rollercoaster

The mortgage market has been anything but boring lately! We’ve seen some of the biggest fluctuations in months, with rates experiencing their largest drop since mid-September, according to Freddie Mac.

Here’s where rates stand as of this week:

• 30-year fixed-rate mortgage: 6.63%

• 15-year fixed-rate mortgage: 5.79%

This slight easing in rates is encouraging for buyers who’ve been waiting on the sidelines. If this trend continues, we could see even more activity in the spring market.

What Does This Mean for Buyers and Sellers?

For Sellers:

The Sacramento market remains highly favorable for sellers. With a strong Market Action Index and low inventory levels, demand is still robust. Homes priced and marketed correctly are selling quickly, and the consistent price per square foot means you can feel confident about maintaining strong pricing.

If you’ve been considering selling, now is an excellent time to list your property and take advantage of the competitive landscape.

For Buyers:

The increase in inventory is a welcome change, especially for first-time buyers or those looking for more affordable options. However, with limited inventory and a competitive market, acting decisively is key.

Make sure you’re pre-approved and working with a knowledgeable real estate professional who can help you navigate this dynamic market. The slight dip in mortgage rates is a bonus, but don’t wait too long—spring is just around the corner, and competition is likely to heat up.

Final Thoughts

The Sacramento real estate market remains strong and competitive, offering opportunities for both buyers and sellers. Whether you’re looking to buy your dream home or sell for top dollar, now is the time to strategize and take action.

If you have questions about the market or need guidance on your next move, don’t hesitate to reach out. I’m here to help you make the most of this dynamic market!