Pacific Union Novato | February 2018 Real Estate Market Update
February 2018 Novato Real Estate Market Update | Pacific Union Home Sales Report. Hello 2018! We are off to a white hot start in Novato real estate. As noted last month, Novato’s “dual-market” very clearly represents one of the best move-up opportunities we have seen in 40 years. If you are thinking of selling your smaller home to trade up into something bigger or in a better neighborhood, now is the time. Inventory is still extremely limited for (livable) homes under $1 million. There are currently just 6 such home on the MLS. January sales of homes less than $1 million in Novato totaled 11. Thus, Novato has about 15 days worth of inventory at the entry level (this is extremely favorable if you are seller). On the other hand, there are 10 homes on the market over $1.5 million with just one sale in January (clearly a strong buyers’ market).
- If you want to trade up in Novato, you are selling in a strong sellers’ price range and buying is a fairly strong buyers’ price range. That is a “WIN.”
- Call or email me for my Private Inventory List of homes not actively on the market. It may be your best chance to find a home in 2018.
Novato home sales numbers in January 2018 were in line with expectations as few homes go into escrow in December due to the holidays and weather. In sum, we had 16 trades. Off-market sales continue to supplement buyer needs. The best agents in Novato rely on realtor networking to get their buyers into desirable homes.
Novato’s 16 sales averaged $480 per foot (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 and Novato remains the target for price sensitive buyers. In addition, there is a mass movement of “empty-nester” Southern Marin residents who are selling their multi-million dollar homes in Tiburon, Mill Valley and Ross Valley and transferring their tax base to downsized home in Novato. Also, impacting sales as we move through the first quarter of 2018 will be purchases related to the fires in Sonoma and Napa Counties. These very strong (often all cash) buyers tend to 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 (www.RudnickEstates.com). 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.
Rudnick Estates at Cherry Hill, Novato | Click HERE to see Marin County’s most exciting new home community.
The average sale price for Novato homes in January 2018 was $958,750. Novato (especially Southern Novato — neighborhoods such as Country Club, Pointe Marin and Hamilton Field) was unquestionably continue to be some of Marin County’s hottest markets in 2018 year due to its the good weather, easy commute, newer home inventory and clear bang-for-your-buck relative to the rest of Marin, San Francisco and the Peninsula.
Novato’s January 2018 home sales averaged 73 days on market (DOM), were about 2,062 sq. ft., and averaged roughly $509 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 about 7 weeks across all price points. This is an incredibly favorable environment for sellers (especially under $1 million) — 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):
■ 80% of homes priced under $750,000;
■ 54% of homes between $751,000 and $1 million;
■ 43% of homes over $1 million.
Of the 16 Novato, CA homes that sold in January 2018:
■ 5 homes sold under $750,000;
■ 6 homes sold from $751,00 to $1 million; and
■ 5 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.