San Rafael, CA Metro Area Housing Market Analysis - August 2024
The San Rafael, CA metro area housing market in August 2024 presents an environment with notable trends in pricing, sales, and inventory.
Pricing Trends
The Median Sales Price for homes in San Rafael stands at $1,399,000, reflecting a modest year-over-year (YoY) increase of 1.0%. In contrast, the Median List Price has surged by 8.5% YoY, reaching $1,449,500. This disparity suggests that sellers are optimistic about the market's potential, even though the actual sales prices have not kept pace with the listing prices.
Additionally, the median Price Per Square Foot has risen to $800.84, marking a significant 9.0% YoY increase. The Median List Price per square foot also saw a rise, albeit a smaller one, at $789.81, up by 1.7% YoY. These figures indicate a strong appreciation in property values on a per-square-foot basis.
Sales Activity
The number of Homes Sold in August 2024 was 164, which represents a substantial decline of 13.7% YoY. Pending Sales also decreased by 4.8% YoY, totaling 199. This reduction in sales activity could be attributed to various factors, including higher prices and possibly tighter lending conditions.
Inventory and Listings
New Listings have seen a slight increase of 1.9% YoY, with 218 new properties entering the market. Inventory levels have risen significantly by 15.1% YoY, reaching 419 homes. The Months of Supply, a critical indicator of market balance, has surged by 70.0% YoY to 2.60 months. This increase in supply suggests that the market is shifting towards a more balanced state, potentially easing the upward pressure on prices.
Market Dynamics
The Median Days on Market for homes in San Rafael is now 37 days, up by 6.0% YoY. This indicates that homes are taking slightly longer to sell compared to the previous year. The average sale to list ratio has decreased by 1.6% YoY to 99.4%, suggesting that buyers are negotiating more effectively and sellers are accepting offers closer to the listing price.
The percentage of Homes Sold above the list price has dropped by 11.7% YoY to 33.5%, indicating a cooling in competitive bidding. Price Drops have seen a minor increase of 0.8% YoY, now at 25.3%, which could be a sign of sellers adjusting their expectations to align with market realities. Interestingly, the percentage of homes going off-market within two weeks has increased by 12.9% YoY to 40.2%, suggesting that well-priced homes are still attracting quick offers.
Conclusion
In summary, the San Rafael housing market in August 2024 is characterized by rising prices and a significant increase in inventory. While sales activity has slowed, the market shows signs of balancing, with more homes available and a slight increase in the time it takes to sell a property. Buyers may find more opportunities as the market adjusts, while sellers might need to temper their expectations and be more flexible in negotiations.
