Pacific Union International | Novato Real Estate Market Update (April 2015 Novato Home Sales Report)
April 23, 2015
Pacific Union International | Novato Real Estate Market Update (April 2015 Novato Home Sales Report). Novato sales numbers in March 2015 were very strong despite the low inventory (there is massive unmet demand right now, as discussed below) — 35 single family homes sold at an average price per foot of $394. Indeed, Q1 2015 has proven to be extremely favorable to sellers as buyers continue to act very decisively on properties located in desirable neighborhoods. We continue to see striking velocity of sales and contractual terms, such as short closes (7 to 10 days), minimal investigation periods (and increasing numbers of non-contingent contracts), and often free or reduced amount rent backs to sellers. The Novato luxury home market segment is riding a crest, much like the lower price points (in Novato, $1 million+ homes fall into this category — although, as prices continue to rise, I expect that I will be revising this definition to $1.25 million in coming months). The glut of active listings in this price point at the end of the year is gone. Anecdotally, we continue to see numerous sales conducted privately, outside of the MLS. Many savvy sellers (those with trustworthy agents) and buyers are relying on agents with networking connections to find and sell homes in an effort to avoid the formal sales process which involves open houses, showings, and other inconveniences. I recently represented buyers in a private, off-market sale at $2.1 million (with multiple offers) and am aware of another multiple offer situation at the $1.75 million price point — again, both off market. I estimate that about 10-20% of homes being sold without ever hitting the market via the two largest agent networking groups in Marin County (Top Agent Network (Top 10% of agents) and Marin Platinum Group (Top 100 agents)).
The average sale price for Novato homes in March 2015 rose to $945K. Novato’s luxury sector (defined here as listings over $1 million) continued its impressive performance with 9 MLS sales (as discussed above, this does not include off-market networking trades). I have said it before and still beleieve it to be true, in many ways, Novato is Marin County’s hottest market in 2015.
Overall, Novato real estate sales in February 2015 averaged 90 days on market, were about 2,307 sq. ft., and averaged roughly $405/sq. ft. Novato’s absorption rate (e.g., number of months’ inventory of homes for sale based on last month’s sales totals) is just over 1 month. While there are more homes available now than a month ago, this remains tight market characterized by low absorption rates — balanced markets have 6 months worth 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):
■ 71% of homes priced under $750,000;
■ 66% of homes between $751,000 and $1 million;
■ 39% of homes between $1 million and up.
Of the 35 homes that sold in March 2015:
■ 9 homes sold under $750,000;
■ 17 homes sold from $751,00 to $1 million; and
■ 9 homes sold for $1 million and up.
Single family homes in Rudnick Estates (Novato’s finest new home development), Pointe Marin, Marin Country Club Estates, 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), with Christie’s Great Estates | 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 appreciate discretion and want the BEST result, call me to discuss your situation. My systems have proven successful over and over again. I will NEVER place my interests over my clients’.
