The Sacramento region home market is on the rebound after initial problems during the coronavirus pandemic.
Local home sales declined significantly in March and April, but it appears things are back on track, according to new data from the North State Building Industry Association. People in the Sacramento area bought 888 new homes in July, which was the most sales recorded in a month since February of 2005.
Sacramento Business Journal Digital Editor Sonya Sorich talks about this and more with CapRadio host Steve Milne.
On the impact of Bay Area residents moving to Sacramento
That's part of it. People have more flexibility with where they live, now that working from home has become more widely accepted.
There are other explanations, too. It's possible that after being cooped up inside for several months, people who rent apartments decided they need more room and decided to buy a house.
On how the pandemic has impacted showing homes
The industry has pivoted largely to virtual tours. When homes are viewed in person, models are cleaned between tours.
And this could actually be a good thing for the industry. Apparently, people who make an appointment to view a home in person under the current conditions are more likely to buy.
On how home building in the Sacramento area has fared during the pandemic
Building continued in the Sacramento area during the pandemic. In the Bay Area, most construction wasn't deemed essential, so homebuilding largely had to stop.
That means that not only do we have new homes available now, but many other notable projects in the pipeline are still moving forward.
Last week, Elliott Homes broke ground on the largest development in Rancho Cordova's history. The project covers 3,800 acres previously occupied by Aerojet Rocketdyne. It will ultimately have more than 10,000 homes.
The project is located near major employers such as VSP Global and Blue Cross, and one of its goals is to help people live closer to where they work. Model homes in the project's first phase could be constructed by the end of 2021.
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