- Median sales price falls
- Closed sales continue to decline
- Sales that went into contract increased
- Inventory up
The Redwood City real estate market was a bit of a mixed bag in February. The median sales price declined for the third consecutive month but remained over the price of a year ago. Closed sales continued a seven month skid, while sales that went into contract increased by about a third, and inventory was up for the second straight month.
February’s median sales price of a single family detached home was $936,000, the first time since October of last year it was below $1 million. The median price was $23,500 or 3% higher than a year earlier ($912,500). The monthly median sales price has been higher than the prior year every month now for the past two years. The average price per square foot in February was $692, up $67 (11%) from $625 in January. The price per square foot was $576 in February 2013. On average, homes sold for 104% of the list price in February, off from 106% in January but the same ratio as a year ago.
28 sales closed in February, a decline of 17% from 35 in January. February was the fourth straight month closed sales fell here. However, with the increase in both inventory and pending sales (see below), we can expect this number to rise as we head into spring.
37 sales went into contract in February, up from 28 in January, a 32% increase. 37 sales also went into contract a year ago. Inventory increased from 25 at the end of January to 30 at the end of February, a 20% increase. That was still 20 fewer homes than were on the market a year ago. Inventory relative to sales that went pending was down slightly, from 0.9 months at the end of February to 0.8 months at the end of January.
February’s closed sales were listed for an average of 28 days, down from 35 days for January’s sales. That was the fewest days on the market since October.
Analysis by Price Range
Ten homes priced under $750,000 were actively listed at the end of February, one more than at the end of January. 12 sales went into contract in this segment, an increase of five from seven in January. Inventory relative to sales that went pending decreased from 1.3 months at the end of January to 0.8 months at the end of February. About a third of Redwood City’s inventory at the end of February and sales that went pending during the month were in this segment.
Homes priced from $750,000 to $1,499,000 accounted for 43% of Redwood City’s inventory at the end of February and 54% of the sales that went pending during February. 13 homes were actively listed in this price range at the end of February, six more than at the end of January. The number of sales that went pending also increased by six, from 14 in January to 20 in February. Inventory relative to the sales that went pending stood at 0.7 months at the end of February, compared to 0.5 months at the end of January.
Both the number of sales that went into contract and the inventory of homes priced at $1.5 million and up fell by two in February. Inventory fell from nine to seven, while pending sales fell from seven to five. 1.4 months of inventory relative to sales that went pending were on the market at the end of February, up from 1.3 months at the end of January.