Redwood City Market Conditions October 2014
- No slowing down
- Median sales price back over $1 million
- Other price indicators also rise
- Pending and closed sales increase
- Inventory down across all market segments
The Redwood City real estate market just won’t slow down. After dipping below $1 million last month, the median sales price was back over that level in October. Pending sales increased by more than 20% and closed sales by more than 30%. Inventory was not able to keep up with the high level of sales and declined in October.
The median sales price was $1,053,500 in October, which was 13% or $119,500 higher than September’s $934,000. The median price was $103,500 (11%) higher than October 2013’s $950,000. The average price per square foot increased $9 or about 1% from $678 in September to $687 in October. One year ago, the average price per square foot was $625 or $62 lower than in October. October’s average sale was for 107% of the list price, which was up from 104.5% in September and 104% a year ago.
48 sales closed in October, a 33% increase from 36 in September. 49 sales closed in October 2013.
Pending sales increased for the third straight month in October. 49 sales went to contract during the month, nine more (22%) than September’s 40 but one less than a year ago. Inventory fell 29%, from 56 homes at the end of September to 40 at the end of October. 52 homes were on the market a year ago. The supply of homes fell from 1.4 months at the end of September to 0.8 months at the end of October.
Homes were listed for an average of 27 days in October, up from 22 days in September and 24 days a year earlier.
Analysis by Price Range
Seven properties priced under $750,000 were actively listed at the end of October, two less than at the end of September and half the level of a year ago. Seven sales went to contract in this market segment during October, two more than in September but two less than a year ago. There was a one month supply of homes on the market at the end of October, down from 1.8 months at the end of September. 18% of Redwood City’s inventory and 14% of its pending sales were priced under $750,000.
In the $750,000 to $1,499,999 price range, inventory fell 28%, from 25 at the end of September to 18 at the end of October. Pending sales, on the other hand, increased 32%, from 28 during September to 37 in October. That cut inventory relative to pending sales to 0.5 months at the end of October from 0.9 months at the end of September. This price range accounted for 45% of inventory and 76% of pending sales.
Both inventory and pending sales of homes priced at or above $1.5 million decreased in October. Inventory fell from 22 units at the end of September to 15 at the end of October. Two fewer sales went to contract in October (five) than in September (seven). Inventory relative to pending sales fell from 3.1 months at the end of September to 3.0 months at the end of October. These homes made up 38% of Redwood City’s inventory at the end of October and 10% of the pending sales during the month.