Reno Home Blog

State of Sparks Real Estate Market

A quick view on the Sparks real estate market:

Sparks Median Price Sold:  $180,000

(click to enlarge)

Sparks Median Price Home For Sale:  $199,999

  (click to enlarge)

Months Supply Of Inventory:  2.6 months

  (click to enlarge)

Like Reno, Sparks has been pulled down by falling prices on the mid to high end homes. 

Sparks market is still on a downward trend.  I suspect the median price will continue to go down for a while.  But watch out for the starter homes, scores of first time home buyers are getting in the market.

When Sparks home median price is going down does it mean that the whole Sparks market is headed in the same direction?

Not necessarily.  Because mid to high end home values are rapidly falling, this force pulls down the rest of the market--including the starter home market, which is selling fast! 

Lesson: check sub markets--ex: " Sparks $70,000-$150,000 supply and demand".  (If you don't have access to this information, send me an email.)

State of Reno Real Estate Market

Here's a quick view on the Reno real estate market:

Reno Median Price Sold: $185,000

(click image to enlarge)

Reno Median Price Home For Sale:  $260,000

  (click image to enlarge)

Months Supply Of Inventory (MSI):  3.8 months

  (click image to enlarge)

*Prices are still going down due to plummeting  mid to high end home values.

I discovered something new today.  Reno median price sold--$185,000.  Reno median price home for sale (2nd graph): $260,000. 

Why is there a big difference? Are sellers still trying to sell their homes at inflated prices? Are people just buying starter homes?  Is this the short sale effect (takes too long to get it closed, the price has sunk!)? One thing's for sure, first time home buyers are taking the bulk of the homes in the market.

Sellers: try to price your home at the top three in the neighborhood.

bravery: the new "bad"

  By: Osvaldo Zoom

We have to be accountable to ourselves. 

Momma and Poppa is not here anymore to punish us for bad behavior.  And we can't trust our leaders to protect us from ourselves (regulatory boards).

Rugged individualism is overrated.  Self-discipline and integrity are easily advertised than done. 

The new bad is brave. 

Courage to run the other way from a beautiful woman when you know you're not supposed to be there.  To risk going broke instead of flowing through the tide of issuing bogus loans.

There are scores of brave men and women out there.  We don't usually hear or read about them, I guess it's not as catchy as the latest senator caught canoodling with her secretary. I don't think they would want to be in the spotlight anyway. 

Herein lies the irony--people who are most qualified  to lead rarely have the ambition for it.

But fret not, they're there. 

 

Reno,Sparks & Carson Real Estate Market: What's happening?

Superb photo by: Christa Jane

About: A few questions came into mind  two days ago while I was browsing through some real estate stats at the office:  ' how is the real estate market of Reno,Sparks & Carson City compare to each other?'

And 'who is holding up best among the three major cities of Northern Nevada?'

Thank God for technology, it is not as hard as it used to to chase after these questions.  And chase I did.  It was enlightening. 

We will compare the LTM vs PTM:

LTM- last twelve months
PTM- previous twelve months

WIIFM (what's in it for me?): 

If you are like me I get confused by the countless opinions,facts and real estate tidbits out there.  I used to think that the Sparks Real Estate Market was experiencing a deeper correction than Reno.  Then I switched (with some data backing this belief).  Sparks real estate was in a better shape.  'Oh I don't know anymore.' 

But this new data I uncovered delivers hope.  Compared to my past attempts to differentiate the Reno,Carson and Sparks real estate markets this is by far more authoritative.  It is true what they say, 'we learn as we go'.

Highlight(s): 

• (June 2009) Home Prices in Reno, Sparks and Carso still down (3rd graph).  Even though demand for Reno and Sparks is going off the roof (low priced homes).

• (May 2009)  After a big improvement last month, demand (units sold) is up again (Reno: +4.42% / Sparks: + 1.8% / Carson: 1.21%).  Median price (though still going down) also improved (Reno:  1.04%  /  Sparks: 2.8% / Carson: .39%)

• (APRIL 2009) There's a shift happening.  You can see the graphs from last January so you can compare the difference from this month's numbers.  Median price is still going South, but volume and units and even prices are improving.

• Watch out for Sparks! Whew..out of no where Sparks looks poised to be the first city to find a bottom.

• Units and volume continue to inch their way up (a good sign) while median price continue to go down (not a good sign).  This does not necessarily mean that all price ranges are headed downhill.  There are stable markets out there that are showing strong median prices.

• Sparks home inventory increased by  2.76%, while Reno and Carson also experienced higher number of homes in the market.  This is a positive sign contrary to popular belief. 

•  Confident sellers play a vital role in a healthy market.  Wait 'till median prices catch up.  By simply looking at these factors (supply and demand,median price) rest assured you will have a huge edge in determining if the market has indeed bottomed.

Graph(s): 

Percent Growth- $ Volume

 (Click image to enlarge)

Percent Growth- # Units

 

 (Click image to enlarge)

Reno,Sparks & Carson Median Prices. (what is median price?):

 

 (Click image to enlarge)

Community Links:

• City of Reno
• City of Sparks
• City of Carson

Number of updates: 13'th
Updated: July 17,2009
Source: Multiple listing Service
Next Release Time:  Aug 17,2009 (every 17th of the month)
*Residential homes site/stick built

Reno-Sparks (Washoe County) Population Growth (10 years)

From: St.Louise Fed
(click image to enlarge)

Kudos to Nobel prize winner Paul Krugman for 'tipping' this great research site that contain a lot of helpful data on Reno.

Basing it from the above graph, our city is growing! This is good news.  Perhaps this is the reason for our strong demand.  And for the locals who are a tad worried of this growth, Reno has a good reputation for not allowing itself to be 'another Vegas.' 

Good job leaders for the growth without compromise (core identities of our city).

Here's a link on the median household income of the people of the greater Reno-Sparks (Washoe County).

Many say that this data (income) cannot be fully trusted due to the rich people of California using Nevada as a tax shelter (they have high income over there).

From what I've seen, I kind of agree. 

Most people don't have the income to buy $400,000 homes here.  My guess is more than fifty percent of the growth in our population our starter home buyers.

Caughlin Ranch Real Estate: An insiders look (updated)

Photo By: Caughlin Ranch Homeowners Association

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               "My goal is to give you an advantage over your competition by showing you what the market is doing."

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WIIFM (What's in it for me?):

I want to show you what's happening in the Caughlin Ranch Real Estate Market.  If you're a buyer or seller in this area my goal is to give you an advantage over your competition by showing you what the market is doing. 

This data comprises the areas of Reno-Old Southwest (MLS area: 160)  Reno-West-Southwest (MLS area:161)

Time period: December 2005 - June 2009

Highlights:

• (June 2009) Homes for sale is still low comparing it in the last two years.  Demand is up since January of 2009.  Median price (sold) still going South.

• (May 2009) Median price, supply & demand are all down (a bad sign). 

• (April 2009) Median price (sold) have been stable since March of last year.  Demand is pale, I wonder if this will continue 'till summer.  Supply is down as well.

• (Mar 2009) Median price, supply and demand have been going down.  On the upside median price has been stable the past year (see:graph).

• (Feb 2009)  Median price remain stale.  Homes sold in the Caughlin Ranch area go up by seven homes.  Supply remain in a downtrend.

• (Jan 2009) Demand dives to three homes sold.  Inventory follows suit (see: second graph).

• (Dec 2008) Demand is holding up through the winter months(see 2nd graph)--a good sign.  Median price is still struggling, but not as hard as a year ago.

• (Sept 2008) Supply is taking on a shape of a "W".  Going up in the summertime and down when winter comes. I'm waiting to see if this will continue this coming winter.  Median price is still on a downward trend.  Demand has been significantly going up since September 2007.

• (Aug 2008) Demand for Caughlin Ranch homes has been steadily going up while sellers are fewer than what it was two years ago.  Prices of homes are still struggling esp. for high end listings.

• (May 2008) Supply is still in a downward trend but ever since February of this year sellers have been going out in droves.( see: 1st graph)

• (May 2008) Demand,similar to supply is still in a downward trend.  Buyers seems to be waiting for the prices to stabilize before they get in the market.(see: 2nd graph)

• (May 2008) Median prices of homes are still down.  March 2008 could be the market bottom for median home prices for Caughlin Ranch. Prices have been steadily going up since start of this year's summer (see: 3rd graph).

Graphs:

Supply

     (Click image to enlarge)

Demand
        (Click image to enlarge)

Median Price

 (Click image to enlarge)

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             Call Joe (775-338-7653) to see the best homes at the best price in Caughlin Ranch today!

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Community Links:

• Caughlin Ranch Homeowners Association

• The Best Sweets In Reno (5 mins. away)
  

Number of updates: 14'th
Updated: Jun 15,2009
Source:Multiple Listing Service via Broker Metrics
Next Release Time: August 16,2008

Sparks Real Estate: Supply (Updated)

"Truckee River,Sparks NV" Superb photo by: Ken Lund

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                 "I want you to win in the Sparks real estate market"

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About:  

We'll review the number of homes for sale in Sparks for the period of November 2005 - June 2009.

WIIFM (what's in it for me?): 

I want you to win in the Sparks real estate market.  And the best way I know how to make this happen is to help you better understand the Sparks real estate market through concrete statistics and figures.  We'll keep it simple, I promise.

Highlights:

• (June 2009) Spark's supply of homes inched up higher but is still relatively low compared to the last four years ago.

• (May 2009) Lower yet again.  Supply is taking too long to catch up with demand. 

• (April 2009) Lowest supply in the last two years!

• (February 2009)  Homes for sale down by fifteen homes.  But higher compared to the same time last year (see: graph).  Could last year be the bottom of inventory??

• (January 2009) Inventory remain relatively low since I started gathering the numbers in Dec 2005 (graph below).

• (December 2008) Looks like supply is moving steadily since December of 2006.  Though I'd love to see early 2006 numbers come back(see graph).

• (November 2008) Sellers are still luke warm.  You can sense their lack of confidence in the market.  Yet we still have more homes in the market compared to last year of the same month (Nov)

• (October 2008) Basing it on the number of homes for sale, sellers are still uneasy about the market.  I reckon though that it may not be such a bad idea to sell now.

• (Aug 2008) Demand has been stable for the past two years.  Supply of homes is low  while prices continue to find a bottom.  I hope sellers' confidence continue to grow.  It's not an easy market for our neighbors in Sparks, but keep your eyes open on what's happening. This will aid you in making good decisions when the opportunity presents itself.

• (May 2008) Inventory continue to go up.  Sellers are slowly capitalizing on the increase in buyers. (see: Sparks real estate: demand)

• Although sellers are starting to come out, the numbers are just average to lower compared to 2006-2007 figures (see graph). 

Graph:

 Click Image For Full Page View

Raw Numbers:

June '09:  969

May '09:  964

Apr '09:  992

Mar '09:  1,032

Feb '09:  1,042

Jan '09:  1,043

Dec '08:  1,036

Nov '08:  1,067

Oct '08:    1,087

Sep '08:   1,088

Aug '08:   1,089

Jul '08:    1,084

Jun '08:   1,085

May '08: 1,037

Apr '08: 1,010

Mar '08:  975

Feb '08:  942

Jan '08: 933

Dec '07: 919

Nov '07: 1,018

Oct '07: 1,077

Sep '07: 1,130

Aug '07: 1,240

Jul '07: 1,248

Jun '07: 1,230

May '07: 1,202

Apr '07: 1,140

Mar '07: 1,088

Feb '07: 1,022

Jan '07: 1,086

Dec '06: 1,046

Nov '06: 1,190

Oct '06: 1,308

Sep '06: 1,442

Aug '06: 1,565

Jul '06: 1,617

Jun '06: 1,583

May '06: 1,548

Apr '06: 1,328

Mar '06: 1,196

Feb '06: 1,128

Jan '06: 1,083

Dec '05: 1,106

Nov '05: 1,195

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Call Joe (775-338-7653) to see the best homes at the best price in Sparks today!
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* Sparks Residential homes site/stick built

Updated:  July 14,2009

Number of updates: 16'th

Source: Multiple listing Service via Broker Metrix

Next Release Time: Aug 14,2008 (Every 14'th of the month)

NORTHWEST RENO: GOOD BUY LIST ($140K - $200K)

1.  6380 Antero Drive Reno, NV (Reno-Northwest Suburban)

$199,900

3 Beds

2.5 Baths

1,593 Sq. Ft

$125.49 Price Per Sq. Ft

2.  1872 Cambridge Hills Court (Reno-Northwest Suburban)

$198,000

4 Bedrooms

2.5 Baths

1,780 Sq. Ft.

$111.24 Price Per Sq. Ft

3.  2560 Keystone Avenue (Reno-Old Northwest)

$139,900

4 Bedrooms

2 Full Bathrooms

1,492 Sq. Ft

$93.77 Price Per Sq. Ft

"The external world is remarkably consistent, and yet we blame it for what's going on inside of us."

Once in a while I let my post stray away from real estate.

This one is from Seth Godin (marketing freak / genius):

(Full Post: The Confusion)

"The external world is remarkably consistent, and yet we blame it for what's going on inside of us. People who think the world is going to end always manage to find a new thing that's going to cause it to end. People itching to be bummed out all day long will certainly find an external event that give their emotion some causal cover. The thinking happens long before the event that we blame the thinking on."

And he goes on to say:

"Products are remarkably similar, yet we use their marketing stories as an extension of our self-image and self-esteem. Should a new phone really make you that happy?"

I am a avid student of advertising and marketing, been one for the last five years.  I live and breath Ogilvy's selling wisdom--give facts, test your ideas, "ninety-nine percent of advertising doesn't sell much of anything."

But spending billions of dollars to know what triggers my biochemical circuitry is borderline flagrant:

"Marketers spend billions of dollars identifying common biochemical events, and then they launch products and services with stories that align with those events. As a result, we spend money on external forces in an attempt to heal internal pain. Marketers want the equation to be, "if you buy this, everything will be all right.

I wish it were so easy"

Full Post: The Confusion

Reno Real Estate: Demand (Updated)

"Green before bloom" Amazing photo by: Daifuku Sensei

                                     

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"Buyers seem to be more confident of our real estate market"

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About: If the inventory of homes (posted last week) show us the supply, in this post we will be looking at the demand side in the Reno real estate market.

WIIFM (what's in it for me?): By comparing the inventory of homes for sale VS the number of homes SOLD we will better understand what is really happening in the Reno real estate market. 

Highlights:

• (June 2009) Demand up since January 2009!

• (May 2009) Demand as expected, has been off the chart (highest in two years)!

• (Apr 2009) Current demand is second to the highest in the last two years!

• (Mar 2009)  Demand is much higher compared to the same months last year (see: Jan, Feb and Mar).

• (Feb 2009)  After last months dive,homes sold goes up by a whopping 38 homes.

• (Jan 2009) Ouch.  A forty-eight home decrease in sales (from 182 to 134).

• (Dec 2008) November and December sales are lower than what I expected.  Buyers' confidence seem to be going South, not a surprise, considering the widespread news of financial turmoil.    

• (Oct 2008)  Demand is in an uptrend.  More and more people can now afford to buy homes in Reno.  Though median price is still struggling.

• (Sep 2008) A twenty-eight home increase for this month! But median price continue to go down.  It's worth mentioning that MSI (months supply of inventory) is down to 9 months!--a good sign.

• (Aug 2008) Demand continues to go up (started January of this year).  Sellers are still a little gun shy while median price continue to struggle.  It is important to know that not all price ranges in Reno are struggling, take for example: $150-200K.

Read past comments

Graph(s):

Click image for full view                                       

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"I will be more than happy to give you market advice about a specific neighborhood in the Reno or Sparks real estate market. Don't hesitate to call Joe (775-338-7653) for a no hassle-no pressure phone meeting."

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Number of homes SOLD in Reno:

• Jun '09:  326
  

• May '09:  282
  

• Apr '09:  273
  

• Mar '09:  240

• Feb '09:  178

• Jan '09:  135

• Dec  '08:  183
  

• Nov  '08: 177

• Oct  '08:  223

• Sep '08:  245

• Aug '08:  209

• Jul '08:  277
  

• Jun  '08:  256

• May '08:  211

• Apr '08:   202

• Mar '08:  164

• Feb '08: 137

• Jan '08:  107

• Dec '07:  165

• Nov '07:  138

• Oct '07:   164

• Sep '07:  147

• Aug '07:  211

• Jul '07:    197

• Jun '07:   240

• May '07:   260

• Apr '07:   222

• Mar '07:   232

• Feb '07:  203

• Jan '07:  182

• Dec '06:  202

• Nov '06:  196

• Oct '06:   247

• Sep '06:  216

• Aug '06:  219

• Jul '06:    258

• Jun '06:  296

• May '06:  264

• Apr '06:   246

• Mar '06:  258

• Feb '06:  178

• Jan '06:  187

• Dec '05:  223

• Nov '05:  263

P.S-  If you have something to add about what's happening in your neighborhood or you disagree with me on something or just want to rant about the market, you're most welcome to add to the conversation by leaving a comment. 

*  Reno Residential homes site/stick built

Updated: July 9, 2009 (17'th)
Source: Multiple listing Service via Broker Metrics
Next Release Time: Aug 10, 2008  (Every 10'th of the month)