Salinas, CA Metro Area Housing Market Analysis - August 2024
The housing market in the Salinas, CA metro area presents a complex landscape as of August 2024, characterized by a mix of declining and rising metrics. The Median Sales Price has experienced a notable decrease, while inventory levels have surged, indicating a shift in market dynamics.
The Median Sales Price in Salinas stands at $862,500, reflecting a significant year-over-year (YoY) decline of 7.1%. In contrast, the Median List Price has remained relatively stable at $988,000, showing a slight YoY increase of 0.3%. This divergence suggests that while sellers are maintaining their asking prices, buyers are negotiating lower final sales prices.
Price Per Square Foot metrics reveal a different trend. The median Price Per Square Foot has risen to $566.68, marking a 4.8% YoY increase. Similarly, the Median List Price per square foot has surged by 9.8% YoY to $637.81. These increases indicate that, despite overall price declines, the value attributed to each square foot of property has appreciated.
Sales activity has slowed, with 176 Homes Sold in August 2024, representing a 12.9% YoY decrease. Pending Sales have also declined by 3.9% YoY, totaling 219. New Listings have dropped by 4.0% YoY to 239, suggesting a reduction in the number of homes entering the market.
Inventory levels have risen sharply, with a 24.9% YoY increase, bringing the total to 602 homes. This increase in inventory has contributed to a doubling of the Months of Supply, now at 3.40 months, a 100% YoY rise. The Median Days on Market have also increased by 9.0% YoY, now averaging 45 days, indicating that homes are taking longer to sell.
The average sale to list ratio has slightly decreased to 98.7%, a 0.6% YoY drop, suggesting that homes are selling closer to their list prices. However, the percentage of Homes Sold above list price has declined by 8.8% YoY to 31.8%, indicating fewer bidding wars and competitive offers.
Price Drops have become more common, with 23.4% of listings experiencing reductions, a 1.0% YoY increase. Additionally, the percentage of homes going off the market within two weeks has decreased by 9.4% YoY to 39.3%, reflecting a slower pace of transactions.
In summary, the Salinas housing market in August 2024 is characterized by declining sales prices and increased inventory, coupled with rising Price Per Square Foot values. These trends suggest a market in transition, with buyers gaining more negotiating power while sellers adjust to changing conditions.
