- Prices surge (price per square foot at all-time high)
- Inventory up but still low
- Pending sales surge
- Days on market very low
Buyers in Redwood City took advantage of an increase in new listings and drove pending sales up to nearly double January’s level. Inventory rose by five units during the month. The extremely strong demand and low inventory continued to drive prices up in February, with the price per square foot at an all-time high and home selling for more than 111% of the average list price.
The median sales price in February was $1,312,500, which was $100,000 (8%) higher than in January. It was also a 35% increase ($342,500) from February 2014’s $970,000. The price per square foot and the sales price to list price ratio also took big jumps up in February. At $821, February’s price per square foot was $128 or 19% higher than in January and was the highest in at least 10 years. The same goes for the sales price to list price ratio that was over 111% ibn February, compared to 103% in January and 104% a year ago.
Closed sales fell for the fourth consecutive month, this time by only two units to 24 in February. That was less than half the 46 that closed in February 2014.
41 sales went pending in February, nearly double January’s 21 and eight more than a year ago. 25 properties were actively listed at the end of February, five more than January’s 20 but five less than a year ago. A 0.6 month supply of homes for sale was available at the end of February, down from about one month at the end of January.
After staying fairly even for the past year, the average number of days homes were on the market fell by 20 days, from 29 in January to only nine in February. One year ago, homes were listed for an average of 31 days.
Analysis by Price Range
There weren’t big changes in the market for homes priced under $750,000. Inventory increased one unit to end February with five homes. Pending sales increased by three, from three in January to six in February. Inventory relative to pending sales fell form 1.3 months at the end of January to 0.8 months at the end of February. 20% of inventory and 15% of pending sales were priced under $750,000.
Both pending sales and inventory increased sharply in the $750,000 to $1,499,999 market segment. 13 homes were actively listed at the end of February, up from eight at the end of January. 24 sales went to contract in February, up from 15 in January. The months of supply was little changed at about 0.5 months. This price range accounted for 52% of Redwood City’s inventory at the end of February and 59% of its pending sales during the month.
Pending sales of homes priced at or above $1.5 million were the highest (11) since May 2014 (13). Only three homes went to contact in January. Inventory slipped form eight at the end of January to seven at the end of February. 28% of the city’s inventory and 27% of its pending sales were in this segment. A 0.6 month supply was on the market at the end of February, down from 2.6 months at the end of January.