In 2014, sales for Northern California real estate averaged $455,000. Although this number is more than $200,000 greater than the median sales price for the average U.S. home, there is good news for the upcoming year as sales are expected to increase even greater. It is predicted that the average Northern California home will sell for about $478,000 in the 2015 calendar year. That is a rise of about 1.02%.
There are many reasons for this improved real estate performance, including lower energy costs and more confidence in the market. The Bay area has seen a steady growth in jobs and an improved economy. This keeps buyers (and sellers) happy.
It has certainly been a rough seven years for the real estate market, but now people are seeing things level off and are interested in buying. Those who were hit the hardest in the recession and faced foreclosure are in the market once again. Individuals who have delayed purchases because of the economic downturn are now buying. More individuals have enhanced their credit score, and while the past saw the inability to qualify for a home loan, things have now changed and those people are getting approvals. It is all of these things and more that are helping the Northern California real estate market continue to rise into the 2015 year.
Cash buyers and short sales are also part of the increase in real estate sales in Northern California. Approximately 44% of all sales (in 2014) have been cash sales, while 25% of sales were short sales.
It is safe to say that 2015 will be a wonderful year for the Northern California real estate market. In 2014, signs of improvement were definitely in the air. For the coming year, things will all come to a head and many fantastic sales will take place.