2022 in Review: An Interesting Market

Welcome to 2023! I just want to go over a few stats to sum up 2022. I had a couple of goals to close out 2022. One was to close five more houses, which I accomplished, and thanks to my clients, I did get a couple of referrals to close out the end of the year. I did not lose the weight I was hoping for, but I'll keep plugging away.

So how was the market in 2022? It was basically a head-and-shoulders. Many people who follow stocks might know what a head-and-shoulders looks like. Basically, the year started out, went up, and then went down. So here are a couple of stats.

The average price, and this is for YOLO, Sacramento, Placer, and Eldorado, the average price to start the year was $624,000. We hit a high of $714,000 in May, and then, to close out the year in December, we ended up at $584,000. For the full year, We had a 6.4% decrease in average price across those four counties. However, since the high in May, that is a decrease of 22%. May of 2022 was the high watermark for prices across our region. The median price to start the year was $558,000. We hit a high price again in May with a median sales price of $625,000. Then in December, we ended at $530,000. Again, that's a 5% decrease over the year, but since May, that's a 15% decrease in the median sales price in our region.

"The market has definitely adjusted and slowed down, but transactions are still occurring."

From an average price per square foot, we started the year at around $328 per square foot. We had a high watermark in May of $362 per square foot, and we ended December at $312 per square foot, similar to the median price. That is a yearly decrease of 4.8%, and since May, a decrease of 14%.

Our inventory days on market was a low of 14 days in May, and currently, we're at about 49 days that a house sits on the market before it goes under contract as of the end of December in that four-county region. There are 2,612 homes for sale, with 1,055 pending and 1,230 sold through December. So even though prices have done that head and shoulders effect through the year, and you hear many people say that the market's dead, the market has definitely adjusted and slowed down, but transactions are still occurring. I just put one of my listings under contract the first week of January.

Anyways, welcome to 2023, and we'll see you soon. Take care, and remember to call or email me with any questions you may have. I’m always here to assist you with any of your real estate needs.