Alamo Market Update Feb 2010 – All Quiet on the Western Front

The was pretty quiet in January, after seeing a large drop in inventory in December. January did mark the sixth straight month with declining inventory of single family homes. Pending sales remained largely unchanged and inventory was ample.

The inventory of single family homes in Alamo dropped significantly in December and then stabilized in January. There were 74 homes for sale at the end of January, just off December’s 75. However, December’s inventory was a 21% decrease from November’s 95. At the end of January, there was nearly six months of homes for sale. There were 13 pending sales at the end of January, off from December’s 14 and November’s 16.

All Alamo Single Family Homes
Inventory Vs Pending Sales Jan 2010

74% of Alamo’s inventory was homes priced under $2 million at the end of January. This segment accounted for all pending sales at the end of January. There was four months of inventory of these homes. Inventory fell to 55 in January, from 58 in December and 74 in November. Pending sales were 13 in January, unchanged from December.

Alamo Single Family Homes Under $2 Million
Inventory Vs Pending Sales Jan 2010

The luxury end of the market (homes priced over $2 million) has had trouble finding its footing. There were no pending sales at the end of January and only one in each of the three previous months. Inventory increased at the end of January to 19, from 17 at month-end December, which was off from November’s 21. In other words, there is almost 2 years worth of inventory on the market in this segment at current sales level.

Alamo Single Family Homes Over $2 Million
Inventory Vs Pending Sales Jan 2010

While inventory levels in Alamo are fairly low, relative to sales, they remain somewhat high, particularly in the high end of the market. I would expect more inventory to come on the market as we head into Spring. Perhaps more buyers will move off the sidelines and take advantage of some of these opportunities.