2012 marked a year of transition for Sonoma Valley’s adult communities. Prices and the volume of homes sold had been falling steadily since the market peak of 2005-2006. Prices began to stabilize in late 2011, with 2012 showing marked increases beginning in spring and extending through year end.
53 homes sold within the communities of Temelec, Country Meadows, Creekside Village, and Chantarelle. This was the highest volume of sales since 2004. The median price for homes in Temelec and Country Meadows was $305,000 up $70,000 from 2011. The median price for homes in Creekside Village/Chantarelle was $345,000, a decrease of 3.8% from 2011.
When dealing with such small data samples, statistical analysis is prone to variations due to the influence of homes which are atypical. Temelec/Country Meadows had fewer distress homes, and had a greater number of homes where much remodeling and upgrading had occurred. Creekside Village and Chantarelle, in contrast, had a greater number of homes where properties were distressed, with few having been upgraded or remodeled.
Year’s end marked a total depletion of homes offered for sale. While in most cases it took an average of 112 days to complete a transaction, many transactions closed in as little as 30 days from being offered to the market. What’s more, homes which had been offered for sale for over a year or two finally attracted willing buyers as prices rose.
We began the New Year with only one or two properties being offered for sale – any remaining offerings not closed were in contract with buyer contingencies to be satisfied. New offerings appear to be testing the market by taking end of year closings of comparable properties and asking a premium price for lack of available competition.
While there may be fewer distress sales anticipated this year, those often being the result of reverse mortgage defaults and foreclosures, the expectation is for more normal market conditions to emerge as the year unfolds.
For those who may have been motivated to sell due to fears of further loss of their equity, those fears seem unjustified in the current environment. Meanwhile, buyer demand continues to be strong due to continued low interest rates, and the realization that if prices or mortgage rates rise, time will not work in their favor.
If your circumstances necessitate a move to another home for reasons of health, financial necessity, or to be closer to loved-ones, we would like to offer our services. We have served the needs of your friends and neighbors within Sonoma’s adult communities for over 20 year with nearly 200 completed senior community transactions.
If you ever need the services of a Realtor for yourself, a family member, or a neighbor, we hope you think of us. Whether your interest is in a general evaluation of your property, advise on remodeling or refinance, recommendations for services to make daily life easier to manage, or a name for a gardener, handyman or contractor, please give us a call. There is no cost or obligation
