A new real estate report on the nation's hottest seller's markets came out today. The San Francisco Bay Area leads the nation. But the Sacramento region is close behind.
Data for April show that both Alameda and San Francisco counties saw average sale prices at eight percent above estimated full market values, the highest percentage in the country.
A Sacramento area county also ranks high among the list of seller's markets.
"Yolo County where the average sales price was seven percent higher than the average estimated market value of the homes that were selling."
That's Daren Blomquist with RealtyTrac, the research firm that released the report.
"If we look at Sacramento County itself," says Blomquist, "it was at three percent higher sales price than market value and Placer County was also at three percent higher."
He says one reason for that is prices are being driven up in inland areas by institutional investors who are buying single-family homes and converting them into rentals.
Blomquist says it's different in coastal areas where foreign investors are buying “trophy properties."
He says of the 32 California counties analyzed, only six saw properties sell below market value in April.
Meanwhile, the new RealtyTrac data show home values in California continue to climb, but the price appreciation is slowing. Blomquist says the median sales price in April was $365,000.
"That was up three percent from a year ago," says Blomquist. "But we’re not seeing the double-digit percentage gains in home prices that we had become accustomed to maybe over the last couple of years. It’s down to that single-digit, slow and steady growth in home prices.”
Blomquist says more than 35,000 single-family homes and condos sold in California last month…making it the highest April for sales volume in the last four-years.