Local Real Estate Market Update, Fourth Quarter 2011

During the quarter ended December 31, 2011, 310 homes were sold in our local market*, up marginally from the 307 homes sold in the same quarter last year. The median price fell to $692,500 during the quarter, down 6% from $739,000 in the same quarter last year. Properties took slightly longer to sell, 37 days on average up from 35 in the same quarter last year. Available inventory continued to be absorbed and fell from 293 homes at the end of last quarter (3 months of inventory) to 130 homes at the date of this letter (one month of inventory). Inventory is typically lower over the holiday season. New inventory should be met with seasonally stronger demand as those buyers in the marketplace have had virtually nothing to choose from over the last month.

Despite a thinner market, my business continued to expand. I sold 37 homes in 2011 and reached $250 million in sales volume over my first decade as a Realtor. My average property listing  received two offers and sold in 16 days at the full original list price. Much of this growth has come from my wonderfully loyal client base as well as new and innovative ways to reach buyers and sellers and find solutions to their respective needs. I significantly expanded my investment in online channels to better reach today’s marketplace. I truly love this business and am inspired by the sweeping changes and opportunities ahead.

*Local market consists of detached homes over $450,000 in Albany, El Cerrito, Kensington, Piedmont and the hill areas of Berkeley and Oakland, as reported by the East Bay Multiple Listing Service