Nevada County housing market sees increased demand, limited inventory
Interest in home purchases in Nevada County is on the rise following a slower sales month in April, as buyers and sellers who were initially hesitant in response to the pandemic return to the market.
There was a month-to-month decline from 131 sales in March to 77 in April, then showing some recovery with 104 sales in May.
This year’s May sales are 29.7% lower than last year, with 148 home sales in May 2019, said Teresa Dietrich, local Realtor and past president of the Nevada County Association of Realtors.
“We have a fairly limited inventory at the moment, and it seems to be keeping the prices up a little over what they might normally be. Sales are down because there just isn’t enough inventory to sell,” Dietrich said.
According to statistics reported in May by the MetroList, average price per square footage of sold homes in Nevada County is appreciating, rising 2.1% from March to April and 5.3% over April 2019.
Median price of sold homes is also appreciating, rising from $420,000 in March to $460,000 in April, an increase of 9.5%. This also shows a 19.5% increase from the median price of $385,000 in April 2019.
“If you look at the national and state surveys, it’s showing that most buyers think they should be getting a discounted price because of COVID-19. And most sellers think they should hang on tightly to their price because there isn’t enough inventory and there are more buyers than sellers,” said Dietrich.
Realtor Haidee Reyes, Nevada County Association of Realtors president-elect, said several factors contributed to a lull in real estate activity in April, including loss of income for buyers and concerns related to COVID-19 making sellers more reluctant to let people into their home for showings.
“Then, what I felt in May was that we had an influx of listings,” said Reyes. “I’ve had sellers who pulled their homes off their market and put them back on, and they immediately sold.”
Average days on the market for listed homes has been variable, showing a neutral trend over the last several months. On average, homes sold in May had been on the market for 45 days, compared to 60 days for those sold in April.
Home sales in Nevada County
Infogram
Reyes recounted that homes began selling more quickly largely because of increased interest from local first-time home buyers, as well as buyers looking to move into the area from large cities.
She said that, when COVID-19 related shutdowns began and many pulled away from buying a home amid the resulting economic uncertainty, those who had been considering buying their first home and had some financial security were motivated by the open market to act then.
“What I’ve seen recently is most buyers are from out the area, primarily from the Bay Area,” said Reyes.
Dietrich echoed the observation, adding that regardless of local increases in median home price, prices remain relatively affordable when compared to those seen in the Bay Area and other major metropolitan areas.
Some buyers from these areas have also had their interest in moving to Nevada County sparked by their experiences during the pandemic.
“If you’re going to be locked in your house during a shelter-in-place order, would you rather be in a small flat in San Francisco or here in Nevada County with very few COVID-19 cases and a yard to grow your own vegetables in?” said Dietrich. “So, that’s what’s happening.”
Regional housing trust fund in the works for Nevada County
Nevada County looks to emphasize smaller units
No fears of housing density among planning officials
COVID-19 protocols strain Nevada County homeless shelter’s budget
Tenants, landlords arrange payment options during COVID-19 eviction ban
Patchwork of tenant protections intact for now
The high cost of homelessness in Nevada County
Nevada City collaborates with county and nonprofits to move campers off Sugarloaf Mountain
Nevada County housing market sees increased demand, limited inventory
Nevada County graduates consider options in wake of COVID-19
Nevada County students receive more than $800,000 in scholarships
Graduating seniors in Nevada county weigh financial, academic concerns for college
Career education program adapts to meet needs of students
Nevada County middle schoolers, high school underclassmen unsure what to expect next year
Support systems for Nevada County teens go virtual during pandemic
Sierra College summer enrollment not slowing
Hamstrung: Nevada County summer sports scene hit hard by COVID-19 pandemic
Nevada County theaters go dark for the year
‘Planning for all of it’: Nevada City Film Festival moves online for this year’s event
Nevada County’s music festivals look to virtual events to build community, recoup finances
For Nevada County musicians, the show goes online
Nevada County artists adapt, host online galleries, concerts and workshops
Street fair cancellations in Nevada City, Grass Valley a huge economic hit
Who’s zooming whom? Creativity among Nevada County artists in the pandemic era
Nevada County nonprofit funding in jeopardy
Nonprofits struggle to serve clients during pandemic shutdown
Nevada County animal rescue groups see surge in fosters, adoptions
Nevada County’s thrift stores move ahead with reopening
Local nonprofits feeling the effect of canceled, postponed fundraising events due to COVID-19
Nevada County youth organizations adjust to public health requirements
Volunteer work faces changes at Nevada County nonprofits amid restrictions
‘Do you have reserves?’ Still much uncertainty over how nonprofits will fare in coming months, years
Government business continues in isolation during COVID-19 pandemic
Nevada County, cities collaborate to reopen safely
Wildfire prep in Nevada County continues virtually during pandemic
‘This is why we signed up’: Librarian, homeless shelter manager continue working during pandemic
Financial aid offers much-needed relief in western Nevada County for those who can get it
Grass Valley trims staff in response to COVID-19 shutdown
Nevada County: Staffing, service reductions not yet needed
Nevada County property tax on par despite pandemic
Hospice of the Foothills continues providing end-of-life care during COVID-19 crisis
Senior care facilities on lockdown during COVID-19 pandemic
Residents of Nevada County senior living communities staying connected
Nurses in Nevada County and the region talk about why they love their jobs
Nevada County not planning to release more detailed COVID-19 case data
Officials: Testing is key in calls to reopen in Nevada County, across California
Nevada County doctors change approach to providing care due to COVID-19
Impacts of Idaho-Maryland mine to be revealed soon
Nevada County artists discuss how COVID-19 shutdown has affected them
‘The arts are essential’: Center for the Arts launches emergency relief fund
Real estate sales strong in Nevada County despite challenges
No slowdown seen in Nevada County construction industry despite COVID-19 lockdown
Grass Valley, Nevada City first to feel COVID-19 economic hit
Nevada County businesses struggle navigating economic relief
Nevada County health care providers pivot on financial tight rope
Nevada County businesses, governments, nonprofits navigate uncertain times, worry what’s ahead
RELATED RESOURCES
http://www.TheUnion.com/coronavirus
http://www.MyNevadaCounty.com/coronavirus
Victoria Penate is a staff writer with The Union.
Support Local Journalism
Support Local Journalism
Readers around Grass Valley and Nevada County make The Union’s work possible. Your financial contribution supports our efforts to deliver quality, locally relevant journalism.
Now more than ever, your support is critical to help us keep our community informed about the evolving coronavirus pandemic and the impact it is having locally. Every contribution, however large or small, will make a difference.
Your donation will help us continue to cover COVID-19 and our other vital local news.
Start a dialogue, stay on topic and be civil.
If you don't follow the rules, your comment may be deleted.
User Legend: Moderator
Trusted User