Novato Real Estate Market (7/1/07 Home Sales Report)

Novato home sales and real estate values–have they hit slack tide? That’s a tough question. While much of the rest of Marin continues to experience meaningful appreciation and, yes, even multiple offers. Novato home sales are a different story. Of course, Novato homes that are PRICED FOR TODAY’S MARKET, are nicely maintained, updated, and/or located in the most desirable neighborhoods continue to sell (especially those priced under $700,000). Once prices get up above $700,000, however, the percentage of homes in escrow (a good barometer of market strength) dips to about 20% until you get to the $1.5 million price range (at about 13%). These numbers clearly indicate a fairly strong buyers market.

Interestingly, homes priced in the $1 million – $1.5 million range are selling at a similar rate (in terms of percentage in escrow) as those in the $700,000 to $800,000 price range. Homes in Novato that sold during the past month (there were 44 home sales) averaged about 65 days on market for an average price of about $969,000 (about $416 per square foot). Note that the average days on market for active and pending homes was 69 days (higher than that of homes that sold–emphasizing the need to price homes for today’s market).

Current absorption rates are lowest (indicating the lowest inventory relative to demand) in the under $700,000 price range–there is about a 3 month inventory. Homes in Hamilton Field, Pointe Marin, Presidents, Rush Creek, San Marin, Partridge Knoll, and Atherton Ranch continue to be in high demand, as do the new luxury homes at Stonetree. Over the past few weeks 3 homes sold on Windwalker Way (off of Olive Avenue towards Atherton Avenue) in the $1.35 million to $1.6 million range.

If you would like me to run the exact numbers on your neighborhood, just give me a call at (415) 350-9440. It is my pleasure to be of service.