Oakland, CA Housing Market Overview: November 2024 Analysis
The Oakland, CA metro area housing market in November 2024 presents a complex landscape with varying trends across different metrics. The Median Sales Price has increased to $957,000, marking a 2.9% rise year-over-year (YoY), indicating a continued demand for homes despite broader economic conditions.
Pricing Dynamics
While the Median Sales Price has seen an uptick, the Median List Price has decreased by 4.1% YoY, now standing at $849,000. This divergence suggests that sellers may be adjusting their expectations to align with market realities, possibly due to increased inventory levels. The median Price Per Square Foot has remained relatively stable with a slight increase of 0.1% YoY, now at $603.17, while the Median List Price per square foot has decreased by 2.9% YoY to $553.09.
Sales Activity
Sales activity has been robust, with 1,603 Homes Sold, reflecting a significant 12.9% increase YoY. Pending Sales have also risen by 8.5% YoY, totaling 1,565. This growth in sales activity is occurring despite a 13.3% decline in New Listings, which suggests that demand is outpacing supply, contributing to the upward pressure on sales prices.
Inventory and Supply
The Inventory of Homes Available has increased by 19.3% YoY, reaching 2,794 units. This rise in inventory, coupled with a 10.0% increase in Months of Supply to 1.70 months, indicates that the market is gradually moving towards a more balanced state, although it remains a seller's market. The Median Days on Market have increased by 6.0% YoY to 21 days, suggesting that homes are taking slightly longer to sell compared to the previous year.
Market Competitiveness
The average sale to list ratio has decreased slightly by 0.8% YoY to 102.6%, indicating that homes are still selling above list price, but the premium buyers are willing to pay has diminished. The percentage of Homes Sold above list price has also decreased by 4.7% YoY to 53.6%. Additionally, the proportion of Price Drops has decreased by 3.5% YoY to 23.9%, and the percentage of homes going off the market in two weeks has declined by 7.7% YoY to 32.3%, reflecting a slight cooling in market competitiveness.
Conclusion
Overall, the Oakland housing market in November 2024 is characterized by rising sales prices and increased sales activity, despite a decrease in New Listings and a slight cooling in market competitiveness. The increase in inventory and Months of Supply suggests a gradual shift towards a more balanced market, although demand continues to outpace supply. Buyers and sellers should remain aware of these dynamics as they navigate the market in the coming months.
