SONOMA COUNTY MARKET UPDATE Q4 2016
Homes sold as soon as they hit the market and for premium prices across Sonoma County during the fourth quarter of 2016 as the supply of homes declined by 35 percent compared with the same quarter a year ago. County-wide, 1,095 existing single-family detached homes sold in the fourth quarter, down from 1,336 in the third quarter and 1,197 a year ago. Extremely limited inventory also continued to push home prices higher. The median sales price increased from $529,950 in the closing quarter of 2015 to $588,600 in the fourth quarter of 2016. Looking ahead to the first half of 2017, the wettest winter in years may provide a temporary distraction, but rising mortgage rates should nudge more first-time home buyers into the market and create opportunities for homeowners who have been waiting to sell. A long-awaited increase in new construction along the 101 corridor should provide additional home buying options heading into what is anticipated to be an active spring housing market.