Sacramento New Homes Market Heating Up

Posted by Rick Delgado on Thursday, March 10th, 2016 at 10:24am.

New home sales in Sacramento reach highest numbers in eight years

New Homes Sales SacramentoLooks like the new homes real estate market in the Sacramento area is picking up steam.

According to the North State Building Industry Association, some 447 new homes were sold in the Sacramento area in February. That's the highest monthly total since 2008 when the recession began, and only 59 new houses were sold that February.

New home are being built in some 123 subdivisions in the region, the most in seven years, including West Roseville.

These numbers come at a time when new homes are still fairly expensive compared to resale or older homes. The average new-home sales price in the Sacramento region last fall was $478,000, just 5% less than it was during the height of the housing market in 2006. The median price on a new home in Sacramento County last year was $434,000, also only a little below new-home prices in the county at the 2006 peak. By way of comparison, resale homes average $288,000 last year and that's way below the 2006 mark of $369,000.

Of interest is the amount of infill homes being built, especially around downtown Sacramento and historic neighborhoods, where they are close to corporate offices. Infill builders at The Mill at Broadway and The Creamery in Alkali Flat are pushing the city to speed up the permit process so they can build more houses quickly.

Things are going well for BlackPine Communities, which is doing infills in The Creamery, located next to downtown Sacramento. BlackPine has set prices for gorgeous, tri-level homes at $499,000 to $569,000, and reports it already has a large list of interested potential buyers for more than 120 houses.

And The Mill is hot right now as well, after 25 of the first 29 available units at The Mill at Broadway were sold in a five-month period as of February, some for under $300,000, a price that represents the lower end of new-home prices in the area.

Rick Delgado

Wonder what your home is worth in today's market? Quickly find out by clicking here. If you'd like help selling your home, please contact Rick Delgado today.

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