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We are still seeing more luxury homes selling and the absorption rate is at 72.6% which makes this a seller's market. Typically rates below 15% indicate a buyer's market and above 20% is a seller's market. While this is a seller's market, the interest rates are at historic lows so this makes it a great time to buy as well!
The number of homes for sale is down across Napa County and buyers continue looking for second homes or if they have the ability to work from home they are looking for homes with more space. We are seeing that the number of sales is increasing as the number of pending sales increased in June. For this reason the absorption rate is so high. If you are thinking about selling, this could be a great time!
If you are considering buying and will need a mortgage, I would highly recommend reaching out to a mortgage lender for prequalification. This way you will be prepared and have one up on other buyers.
Inventory continues to decrease year over year. In June total homes for sale was down 19.1% or 68 homes as was the total sold which was down 24.7% (24 homes). The number of pending sales was up 26.4% (29 homes). The average sold amount was up 15.4% ($201.44k) and the average dollar per square foot was up 19.1% ($120.2). The average days on market was up 52.6% (28.25 days). To get a better understanding of the right time to buy/sell, click here for a breakout by town.
Today's Rates (please check with your lender as these change regularly):
30 Yr FRM 2.87%
15 Yr FRM 2.53%
FHA 30 Year Fixed 2.38%
Jumbo 30 Year Fixed 3.75%
5/1 Year ARM 2.75%