December 2017 Novato Real Estate Market Update | Pacific Union Home Sales Report
December 2017 Novato, CA Real Estate Market Update | Pacific Union Home Sales Report. The fires in the North Bay region spurred sales into Marin County, including Novato, California. Nonetheless, we are beginning to see some slow down and inventory build-up in the move up price ranges — especially for homes over $1.25 million. Yet, overall inventory levels are quite tight under $1 million. This dual market scenario makes for an excellent opportunity for move-up buyers that need to sell their current (entry level) homes.
Novato home sales numbers in November 2017 were much stronger than anticipated with a total of 48 sales (this up nearly 20% from November 2016). Off-market sales continue to supplement buyer needs. Top agents rely on networking to effectuate such sales.
Novato’s 48 trades sold at an average price per foot of $449 (price per foot has remained relatively static over the past 6 months yet it has slipped at the higher price points). While tax changes are expected to impact sales, it is clear more and more buyers feel the “bang for the buck” in driving an extra 10 minutes from Sir Francis Drake is worth it.
I anticipate that Novato sales will likely increase in the new year. We are also seeing large numbers of “empty-nest” Marin residents selling their multi-million dollar homes in Tiburon, Mill Valley and Ross Valley and transferring their tax base. These very strong (often all cash) buyers often seek out 1-level, ranch style homes (or homes with the Master Bedroom downstairs with the main living areas), as well as the new / newer home communities mostly located in Southern Novato. This makes these two types of homes a hot commodity. As noted above, numerous sales are also being conducted privately by agents, outside of the MLS, via networking groups such as the Top Agent Network (TAN — Top 10% of agents) and the Marin Platinum Group (MPG — Top 100 agents). It is estimated that approximately 10-15% of homes are sold without ever hitting the market.
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The average sale price for Novato homes in November 2017 was $937,594. Novato (especially Southern Novato) has unquestionably been one of Marin County’s hottest markets this year due to the good weather, easy commute and clear bang-for-your-buck.
Novato’s November 2017 home sales averaged 47 days on market (DOM), were about 2,176 sq. ft., and averaged roughly $449 per sq. ft. Novato’s absorption rate (e.g., the number of months’ inventory of homes for sale based on last month’s sales totals) is currently less than 2 weeks. This is incredibly seller oriented number reflects an extraordinarily strong seller market (this is the lowest absorption rate level I have ever seen Novato) — balanced markets have 4-6 months of inventory.
Below are the percentages of homes in escrow in each of Novato’s major price bands (note that due to increasing sales prices, I have eliminated the “under $500,000″ price band as few homes are sold for less than that amount):
■ 83% of homes priced under $750,000;
■ 571% of homes between $751,000 and $1 million;
■ 56% of homes over $1 million.
Of the 48 Novato, CA homes that sold in November 2017:
■ 14 homes sold under $750,000;
■ 14 homes sold from $751,00 to $1 million; and
■ 18 homes sold for $1 million and up.
Single family homes in Marin Country Club Estates, Pointe Marin, Rush Creek, Hamilton Field, and Bel Marin Keys elicited the highest numbers of calls and showings this past month. If you would like me to run the exact numbers for your Novato neighborhood or if you have any questions about Novato’s schools or many delightful communities, just give me a call at (415) 350-9440. My name is Kyle Frazier. I am a J.D., Broker, Realtor, Certified Residential Specialist (CRS), and a Certified Luxury Home Marketing Specialist (CLHMS), Top Agent (member), Marin Platinum Group (member) with Pacific Union International Real Estate. It is always my pleasure to be of service.
Note: I specialize in off-market sales of luxury homes in Marin County. If you value discretion and expect high levels of professionalism and service, call me to discuss your situation. Call me: Kyle Frazier @ (415) 350-9440.