A look at the Sacramento housing market in 2023

‘The inventory is going to be great for buyers’: A look at the Sacramento housing market in 2023

Updated: 3:25 PM PST Jan 12, 2023

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6000 FEET. BACK TO YOU. MIKE: IN 2022, WE SAW A HOT HOUSING MARKET IN THE HEAT OF THE SUMMER AND THEN A BIT OF A COOL DOWN TOWARDS THE END. NOW, WE’RE LOOKING TO THE NEW YEAR AND WHAT IT WILL BRING FOR BUYERS AND SELLERS. JOINING US TO TALK TO US ABOUT THE REAL ESTATE MARKET IS PRESIDENT OF THE SACRAMENTO ASSOCIATION OF REALTORS, CHERIE HUNT. THANKS FOR JOINING US. BEFORE HE ASKED THE FIRST QUESTION, WE ARE THROWING UP NUMBERS. LET US SEE HOW THINGS WENT IN DECEMBER. MEDIAN SALES PRICE DROPS 5%. DECEMBER CLOSED WITH 804 SALES. INCREASE FROM NOVEMBER. COMPARED TO ONE YEAR AGO, THE CURRENT FIGURE IS DOWN 42.8%. SO, WHAT TRENDS, IF ANYTHING, DID YOU SEE LAST YEAR THAT YOU THINK MAY CHANGE OR TAPER OFF THIS YEAR? CHERIE: FIRST OF ALL, WITH THE NUMBER OF HOUSING THAT IS SELLING, WE HAVE INVENTORY THAT IS INCREASING EVER SO SLIGHTLY. WHILE WE ARE STILL IN A HOUSING SHORTAGE, SERIOUS AS YOU CAN TELL BY THE SITUATION ON STREETS THESE DAYS, WE ARE LOOKING AT A 5% DECREASE. THAT IS NORMAL, THAT IS A SEASONAL, CYCLICAL TYPE OF DECREASE. WE HAVE ARE EVERY YEAR, STARTING MAYBE OCTOBER, NOVEMBER. IT GOES THROUGH JANUARY AND MAGICALLY, AFTER THE SUPER BOWL — WE DO NOT KNOW WHY — EVERYBODY SAYS, LET US BUY A HOUSE. THE INVENTORY WILL BE GREAT FOR BUYERS. IT WILL HAVE THE OPPORTUNITY TO HAVE SOMETHING TO CHOOSE FROM. THEY WILL ALSO HAVE MORE NEGOTIATION POWER MOVING FORWARD. MIKE: WE SAW THE PRICES TAKE A DIP FOR THE END OF LAST YEAR. A LOT OF FOLKS STARTED ASKING, WILL WE SEE A REPAIR? IS THERE GOING TO BE THE GREAT RESET? YOUR ANSWER IS IT LOOKS PROMISING? CHERIE: TO ME, MY OPINION, IT LOOKS LIKE IT IS SOLIDIFYING WHERE WE CAME FROM. REMEMBER, WE HAD A WONKY, HOT PASTE MARKET APRIL, MAY AND JUNE. HUGE CASH OFFERS, THEN ALL OF A SUDDEN, IT HAS TAPERED OFF. DOES THE MARKET READJUST ITSELF AFTER THAT STARTING AUGUST, SEPTEMBER? WE SAW THE INVENTORY WAS OFF, SO WAS THE OFFERS. WITH PRICING, EVERYONE TOOK A COLLECTIVE GASP WHEN INTEREST RATES ROSE SHARPLY. MIKE: THEY ARE STILL HIGH NOW, A LITTLE LOWER THAN WHAT WE SAW. THEY WENT FROM 9% TO 6.5%. CHERIE: SIX POINT 25% ROUGHLY, DEPENDING ON WHERE YOU ARE AT AND WHAT TYPE OF PRODUCT. WHEN I STARTED THE BUSINESS, IT WAS 14%. CRAZY MARKET, LET US PUT INTO PERSPECTIVE. MIKE: IF YOU HAD TO GIVE A QUICK HIGHLIGHT, WHAT THE SILVER LINING FOR 2023 AS FAR AS IF YOU’RE ARE INTERESTED IN BUYING OR SELLING? CHERIE: FROM THE BUYING PERSPECTIVE, WE TALK ABOUT HAVING MORE TO CHOOSE FROM, MORE NEGOTIATION POWER WITH THE SELLER WHEN IT COMES TO REPAIRS AND THINGS. DURING AN OVERHEATED MARKET, THAT WAS ON THE TABLE — OFF THE TABLE. YOU HAVE TO REMOVE CONTINGENCIES, THERE IS ALSO WAS OF CRAZY STUFF THAT HAPPENED. THAT HAS GONE AWAY AND WE ARE BACK TO THE MORE NORMALIZED MARKET. IT WILL BE POSITIVE FOR THE BUYERS. SELLERS WILL HAVE TO BE A LITTLE MORE REALISTIC. YOU ARE GOING TO HAVE TO PUT ON A PRODUCT THAT LOOKS REALLY NICE TO ATTRACTED BUYERS. YOU WILL HAVE MORE COMPETITION. DO NOT GO TO THE PROM WEARING SWEATS. [LAUGHTER] MIKE

‘The inventory is going to be great for buyers’: A look at the Sacramento housing market in 2023

KCRA

Updated: 3:25 PM PST Jan 12, 2023

The housing market in Sacramento was up and down throughout 2022 but somewhat stabilized by the end of the year. Cherie Hunt, president of the Sacramento Association of Realtors, joined KCRA 3 live in studio to discuss the status of the market in early 2023 and what homeowners and buyers should be on the lookout for. Watch the interview in the video player above.

The housing market in Sacramento was up and down throughout 2022 but somewhat stabilized by the end of the year.

Cherie Hunt, president of the Sacramento Association of Realtors, joined KCRA 3 live in studio to discuss the status of the market in early 2023 and what homeowners and buyers should be on the lookout for.

Watch the interview in the video player above.

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