At least once a day I’m asked about the state of the Livermore market from May 2021 compared to May 2022. Last year at this time, buyers in the Livermore market were frantic to get their offers in for the very limited inventory of homes on the market.
It seemed as if sellers couldn’t get their homes on the market fast enough before a flood of interested buyers offered cash, no contingencies, and tens of thousands of dollars over asking price.
Fast forward one year. Interest rates have increased 2.96% from a year ago (source: Freddie Mac) with another increase expected by the Feds (Forbes.com).
Inflation, an unstable economy, a world crisis, and talk of recession have many buyers holding off purchasing a home in the Livermore market. Also, with an emphasis on some companies mandating a return to work policy, we have both sellers and buyers unsure where to turn.
Numbers Tell the Whole Story
While we are halfway through the year (wow! where did the time go?), we can only surmise where the Livermore market will head. Rather than look ahead, let’s compare the state of the Livermore Real Estate Market from May 2021-May 2022.
According to the May Market Update from Bay East, more homes were sold in May 2021 as compared to May 2022 (127 vs 110 homes sold); 113 were pending in May 2021; 71 were pending in May 2022; there were 63 active homes on the market in May of 2021 and 105 in May of 2022.
The median sale price year over year was $1,157,265 (2021) vs. $1,427, 500 (2022). Homes sat on the market for an average of 7 days in May of 2021 vs 9 in May of 2022. Homes recorded an average sale/list price of 111% in 2021, competing very closely with May of 2022 which shows an average sale price/list price of 112%.
Making Sense of the Real Estate Market May 2021 Compared to May 2022
The Gamache Team continues to see well-priced homes that are in mint condition sell quickly at or above asking price. Buyers want move-in ready homes and are willing to pay the price for them.
Homes that need work or are overpriced sit on the market longer; we are also starting to see price reductions and contingent offers.
Evaluating the year-over-year statistics, there is clearly a market for both buyers and sellers. Buyers who could once afford a higher price point are being forced into a lower purchase price which could be good for sellers who are considering putting their homes on the market.
Sellers are still seeing a huge return on their investment in most cases, with the value of Livermore homes continuing to trend upward.
At this point, homes that are priced to sell are snatched up quickly, ensuring that buyers can’t hit the snooze button for too much longer as there are still motivated buyers who are ready to pounce.
With interest rates on the rise but still not at their highest, The Gamache Team still advises both sellers and buyers that now is a great time to be in the real estate market.
Contact The Gamache Team for Your Livermore Real Estate Needs
The key to securing an awesome sales price, whether you are the seller or buyer, is to partner with a highly regarded real estate team. They can prep, stage, market, and advertise your home to get as many eyes on the property as possible, ensuring you get the most money for your home.
Buyers, count on your real estate team to know the price you should be offering and prepare you beforehand to come to the table with an offer the sellers will take seriously.
The Gamache Team would be pleased to represent you in the purchase or sale of your Livermore home. Please reach out to Dan at (925) 918-0332 or email Dan@gamacheteam.com.
