Alamo Real Estate sales reports have revealed an interestingly good amount of sales for high-end homes but lesser sales for the lower-cost ones. Pending sales of single family detached homes priced over $2 million have been constantly high in the past few months, while those of homes that cost below $2 million have experienced a sharp decline. This drop was accounted to have fallen for three consecutive months after peaking at 24 in June. Inventory, on the other hand was at its highest level this year in July with 108. Its levels stayed generally unchanged from July through September but dropped in the high-end or the homes priced over $2 million.
In general, September pending sales were down by 35% with 13 from 20 in July and 19 in August, which is a 32% decline. There were 95 homes available on the market towards the end of September, an amount a little lower that what months August and July had - 97. Inventory relative to pending sales rose from 4.9 months in July to 5.1 months in August and 7.3 months in September.
For the lower-end market, that is, for the homes priced under $2 million, there was an increase in inventory but a decline in sales in pending. For this market segment, 80 homes were on the market at the end of September, increasing 4% from 77 at the end of August and 5% from 76 at the end of July. In terms of sales in pending, there were a total of nine for this price range at the end of September, decreasing % from 16 during both July and August. Also, a sharp increase of inventory relative to pending sales was noted. The rise was from 4.8 months in both July and August to 8.9 months in September.
For the higher end market, that is, market for homes priced over $2 million, sales in pending have been constant over the past three months with four in September, three in August and four in July. The four in July was Alamo's greatest number since the year 2007, and that's why it is interesting that numbers remained that high. And as it is expected with high sales turn out, inventory decreased resulting to a declining trend starting from 21 at the end of July to 20 at the end of August and 15 at the end of September. September's inventory was 29% lower than July's. Moreover, inventory relative to pending sales in this market segment remained at 3.8 months in September, down from 6.7 months in August and 5.3 months in July.
The trend of pending sales would go separate ways and is usually dependent on whether a home is priced over or under $2 million, with sales declining in the lower end and remaining high in the upper end. It is indeed a varying trend which is dependent of mostly the market activity.
Doug Buenz is a top producing Alamo Realtor with Alain Pinel Realtors. With over 20 years experience in Alamo real estate, Doug has built a solid reputation as a market leader. His web site http://www.680homes.com is a popular site for searching for Alamo homes for sale, as well as extensive information on the community, Alamo Schools, and the East Bay lifestyle. His personal blog The 680 Blog is a widely read source on Alamo market trends, real estate tips and advice, market insights, lifestyle information, and commentary.
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