Oakland, CA Metro Area Housing Market Analysis - August 2024
The Oakland, CA metro area housing market has experienced notable shifts in August 2024, reflecting a dynamic landscape influenced by various economic factors. Below is a detailed analysis of the key metrics and their year-over-year (YoY) changes.
Median Sales and List Prices
The Median Sales Price in the Oakland metro area stands at $900,000, marking a significant decrease of 8.6% YoY. This decline indicates a cooling in the market, potentially offering opportunities for buyers. Conversely, the Median List Price is $887,000, showing a modest decrease of 1.3% YoY. This smaller decline in list prices compared to sales prices suggests that sellers are adjusting their expectations but not as drastically as the market might demand.
Price Per Square Foot
The median Price Per Square Foot has seen a slight increase of 0.8% YoY, now at $612.36. Similarly, the Median List Price per square foot has risen by 0.5% YoY to $583.48. These marginal increases suggest that while overall prices are declining, the value per square foot remains relatively stable, indicating sustained demand for quality space.
Sales and Inventory
The number of Homes Sold has increased by 1.8% YoY, totaling 1,887 homes. However, Pending Sales have decreased by 3.8% YoY, now at 1,912. This divergence suggests that while completed transactions are up, the pipeline of future sales is shrinking. New Listings have risen by 1.7% YoY to 2,203, and inventory has surged by 36.8% YoY to 3,446 homes. The Months of Supply, a critical indicator of market balance, has increased by 40.0% YoY to 1.8 months, indicating a shift towards a buyer's market.
Market Dynamics
The Median Days on Market have increased by 6.0% YoY to 20 days, reflecting a slower pace of sales. The average sale to list ratio is 102.9%, down by 1.0% YoY, suggesting that homes are selling slightly closer to their list prices. The percentage of Homes Sold above list price has decreased by 6.8% YoY to 55.6%, indicating reduced competition among buyers.
Price Adjustments and Off-Market Trends
The percentage of Price Drops has increased by 1.8% YoY to 29.6%, highlighting that more sellers are reducing their asking prices to attract buyers. Additionally, the percentage of homes going off-market within two weeks has decreased by 11.2% YoY to 42.9%, further indicating a slowdown in market activity.
In summary, the Oakland, CA metro area housing market in August 2024 is characterized by declining sales prices, increased inventory, and a slower pace of sales. These trends suggest a shift towards a more balanced market, with potential opportunities for buyers as sellers adjust to the changing dynamics.
