San Ramon Market Update December 2009 – It’s Getting Hot

The market saw inventory of single family homes decline for the ninth consecutive month in December to 54 properties. The fact that inventory fell is not a surprise, since inventory usually falls in December. The fact that there were only 54 homes for sale is a bit of an eye opener though. Also, the fact that pending sales of single family homes at the end of the month increased to 52, from 43 in November was a surprise. That is about one month of inventory. The 54 homes on the market at the end of the month were about 20% of the 244 homes listed at the end of March 2009, the high mark for the year. That is a big decline for a nine month period. Here is a table of the activity for the past 15 months.

All San Ramon Single Family Homes
Inventory Vs Pending Sales Dec 2009

Single family homes priced under $1 million represented about 80% of all sales pending in San Ramon at the end of December and 69% of the inventory. Inventory fell from 51 homes in November to 36 in December. Sales, meanwhile, increase from 35 to 43, a 23% increase. So there is now less than a month of inventory in this segment.

San Ramon Single Family Homes Over $1 Million
Inventory Vs Pending Sales Dec 2009

The inventory of single family home priced over $1 million also declined in December to 18, from 25 in November. That represents only two months of inventory, versus the four months we saw in November. Pending sales increased for the third straight month to nine, from eight in November. The high for the year in this segment was 11 pending sales at the end of July.

San Ramon Single Family Homes Over $1 Million
Inventory Vs Pending Sales Dec 2009

The inventory of single family homes continued to shrink while sales increased, making things quite tight in San Ramon. There is just over a month of inventory as we head into the New Year. As with other cities in the Tri-Valley, the demand for housing is there and I would expect that demand to remain strong with low interest rates and tax credits available. I would also expect more houses to come on the market as we head into spring.