Santa Rosa Real Estate Market Overview - 2024

Santa Rosa Real Estate Market Overview

Santa Rosa’s real estate market shows both historical growth and shifts reflective of current economic conditions, with data suggesting varied investment opportunities. The city’s housing landscape offers insight into regional trends that can guide potential buyers and sellers.

Historical Market Trends

Historical trends in the Santa Rosa real estate market indicate a typically stable growth in home values over the years. Realtor.com notes that Santa Rosa is divided into 29 neighborhoods, showcasing a diversity in property types and values. Historically, these neighborhoods have seen a gradual increase in median sale prices.

Current Market Conditions

As of February 2024, the Santa Rosa housing market presents a mixed picture with an increase in median home prices compared to the previous year. According to Redfin, the median sale price of a home in February was $684,000, albeit with a slight decrease in the sale price per square foot to $440, indicating a potentially competitive market. RocketHomes supports this with a reported median price of $737,500, marking a 3.6% increase. These conditions suggest that while home values are rising, buyers may also find negotiating power due to the slight dip in price per square foot.

Property Analysis in Santa Rosa

In analyzing the Santa Rosa real estate market, particular focus is given to current home value trends and a detailed comparative market analysis. These insights provide potential buyers and sellers with a clear picture of the local housing landscape.

Home Value Trends

Santa Rosa's housing market has displayed nuanced shifts in home values as of February 2024. Homes have been selling for a median price of approximately $683K. These figures represent a slight increase of 0.2% as compared to the previous year, suggesting a fairly stable market. The median sale price per square foot stands at around $457, indicating that space is at a premium in this sought-after location.

Comparative Market Analysis

For a robust comparative market analysis, it is important to consider both the list price and the sale price. In February 2024, the median listing home price in Santa Rosa experienced a slight downturn by 1.2%, positioning the figure at $824.6K. The discrepancy between list price and eventual sale price can serve as a critical indicator of market dynamics, including buyer demand and seller expectations. Market data suggests homes have been selling faster compared to the previous year, with a notable decrease in the average days on market, underscoring a competitive environment for buyers.

Inventory Insights in Santa Rosa

In Santa Rosa, the real estate inventory is a dynamic component reflecting the ebb and flow of the market. Understanding recent listings and housing type availability is crucial for prospective buyers and sellers.

Monthly Inventory Changes

Santa Rosa's housing market saw a slight shift in its inventory as recent data indicates. For instance, in February 2024, the market experienced a dip in homes for sale compared to the previous year, with just 81 homes sold, which is down from 92. This fluctuation represents how inventory levels can change within a span of months, emphasizing the importance of staying informed on current market trends for those interested in Santa Rosa's real estate.

Housing Type Availability

When considering the availability by housing type, the Santa Rosa market offers a diverse range of options, yet the supply varies considerably with demand. While the market provides a mix of single-family homes, apartments, and condos, there has been no specific trend indicating a significant change in the availability of these housing types recently. Prospective buyers should regularly check new listings for the most up-to-date information on what types of properties are currently entering the market.

Neighborhood Highlights

The neighborhoods of Santa Rosa showcase a diverse array of living environments, each catering to different lifestyles and preferences with unique amenities and real estate options.

Community Profiles

Roseland is a vibrant neighborhood known for its multicultural community and lively commercial corridors. Here, residents enjoy a variety of local cuisines and shopping options. In contrast, Oakmont appeals to those seeking a more leisurely pace in a 55+ active adult community, presenting a tranquil scene with golf courses and wine country excursions.

Fountaingrove sits as an upscale region with luxurious homes, often accompanied by stunning views of the rolling hills. Meanwhile, Northwest Santa Rosa provides a more family-oriented setting, boasting numerous parks and schools which contribute to its reputation as a great place to raise a family.

Local Amenities

Santa Rosa takes pride in offering an array of local amenities that enhance the livability of its neighborhoods. Coffeeshops and restaurants are dotted throughout, providing residents with cozy spots to relax and socialize. For example, in neighborhoods like Oakmont and Fountaingrove, one can find both casual and fine dining options that cater to discerning palates.

Outdoor enthusiasts particularly enjoy Santa Rosa due to its proximity to various parks and outdoor spaces within Sonoma County. From the expansive Annadel State Park for hikers and mountain bikers to smaller community green spaces, there is an abundance to explore. Whether it’s for homes for sale in Santa Rosa or the lifestyle the community offers, every neighborhood has its unique allure.

Important Market Metrics in Santa Rosa

The Santa Rosa real estate market is quantified by several key metrics that indicate demand, pricing trends, and the competitive nature of the market. Understanding these metrics helps potential buyers and sellers make informed decisions.

Demand Indicators

• Active Listings: The number of homes actually available for buyers reflects the inventory levels in the MLS.
• Pending Sales: Homes that are in the pending status are awaiting closure and suggest a forward momentum in the market.
• Days on Market: A lower average number of days indicates a stronger demand. In February 2024, properties in Santa Rosa sold after an average of 40 days on the market.
• Redfin Compete Score: This score evaluates how competitive the market is, influencing how buyers should prepare their offers.

Sale-to-List Price Ratio

• Median Home Sold Price: It is essential to differentiate between the listed price and sold price. February 2024 saw a median sold price at around $683K, marking a 0.2% increase from the previous year.
• Asking Price: The initial asking price set by sellers can differ greatly from the closing price, influenced by the market's competitiveness.
• Offers: Multi-offer scenarios can push the sale-to-list price ratio above 100%, signifying a seller's market.
• Rates: Mortgage rates can affect buyer demand, influencing the ratio by changing the affordability of homes.

The sale-to-list price ratio offers insights into the negotiating power of buyers versus sellers and helps define how competitive the Santa Rosa housing market is at any given time.

Buyer and Seller Resources in Santa Rosa

When considering a sale or purchase in the Santa Rosa real estate market, it is crucial for buyers and sellers to access comprehensive resources. Expert advice from real estate agents, coupled with understanding legal and financial requisites, can significantly impact their transactions.

Real Estate Agent Insights

Real estate agents possess a deep understanding of the Santa Rosa housing market trends, including which neighborhoods are most desirable. Their insights are invaluable for buyers aiming to own a home in a competitive market, ensuring they stand out with strong offers. Likewise, sellers benefit from an agent's expertise to price their properties accurately and sell efficiently. Partnering with a local agent who has a verified track record can streamline the process, from house hunting to closing deals.

Legal and Financial Guidelines

Navigating the complexities of real estate transactions requires sound legal advice and financial planning. Buyers should consider obtaining verified approval for mortgages to understand their purchasing power, while sellers must be aware of the legal implications of transferring property ownership. Effective handling of credit and financing is a cornerstone for purchasing a new home or getting the best return on your investment. It is recommended that both parties consult with professionals to ensure all legal and financial affairs are in order.

Rental Market Overview in Santa Rosa

In Santa Rosa, California, the rental market exhibits unique characteristics with significant implications for renters.

Rental Trends

The rental market in Santa Rosa has undergone adjustments, with varied dynamics in pricing. A concrete example reflecting these dynamics is the median rent for houses, which as of February 2024 stands at $2,500 per month. This figure represents a decrease from the previous year, implying that renters may find more favorable rental rates compared to past terms.

Rent Analysis

Santa Rosa's rental prices differ substantially between various properties, ranging from as low as $900 to an impressive upper limit of $48,000, as noted in rental listings. The substantial gap indicates a diverse rental market catering to a wide spectrum of income levels. A closer look at recent figures reveals an average monthly rent of $2,612, slightly above the median, hinting toward a premium segment in the rental landscape. Comparatively, the average rent of apartments stands distinctively lower, marked at $2,033 in the previous month, thereby illustrating a more affordable option within the renters' market.

Market Dynamics in Santa Rosa

The Santa Rosa real estate market has witnessed a shift in market dynamics with notable trends affecting both buyers and sellers. Recent data indicates a nuanced landscape shaped by various external factors, including migration patterns and population changes.

Buyer Sentiment

Buyers in Santa Rosa are cautiously navigating a market that's showing signs of cooling. February 2024 figures reflect a marginal increase in home prices, signaling a potential balance between a seller's market and one that's more buyer-friendly. With homes selling after an average of 40 days on the market – a drop from the previous year – buyers are carefully evaluating purchases, mindful of investments and shifts in the market. Cash buyers remain a potent force, able to close deals quickly and sidestep some of the financing hurdles that can slow down or complicate transactions for others.

Seller Sentiment

For sellers in Santa Rosa, there is an awareness that the market has shifted from the previous highs. While it's still a competitive market, the slight downturn in the median listing home price to $824.6k in February 2024 and a year-over-year decline suggests that sellers must calibrate their expectations and be strategic with how they list their properties. Investing in home improvements and being mindful of buyer trends can potentially lead to quicker sales. Moreover, the influence of migration into the area can impact demand, thus affecting how quickly sellers can find willing buyers.

Transportation and Accessibility in Santa Rosa

In Santa Rosa, transportation options and accessibility are significant factors in the quality of life and real estate market. They have direct impacts on commuting patterns and the use of public transportation.

Commuter Patterns

Santa Rosa's commuters predominantly rely on private vehicles for transportation. This reliance is reflected in the driving trends of the area, with major roadways such as Highway 101 facilitating north-south travel. Congestion during peak hours is notable, and parking availability varies across different districts, impacting commuter choices.

Public Transportation Access

The city is served by Santa Rosa CityBus and Sonoma County Transit, which provide intra-city and inter-city connectivity. Additionally, the SMART train offers a green alternative for commuters traveling between Sonoma and Marin Counties. Santa Rosa maintains several park-and-ride lots for those who combine driving with public transit, expanding the accessibility to surrounding employment centers.

Educational Landscape in Santa Rosa

Santa Rosa's educational framework is distinguished by a robust school district and noteworthy higher education institutions, providing a strong foundation for local students.

School District Overview

The Santa Rosa City Schools district is the largest in Sonoma County, consisting of an impressive array of elementary, middle, and high schools. They serve approximately 16,000 students across these various levels. The district boasts several schools that have earned high ratings on GreatSchools, indicating strong academic performance and a commitment to excellence in education.

Higher Education Institutions

Santa Rosa's commitment to advanced learning is evident with the presence of prominent institutions such as Santa Rosa Junior College (SRJC) and Sonoma State University nearby. SRJC offers a comprehensive range of courses that cater to both those aiming for associate degrees and those intending to transfer to four-year universities. Likewise, Sonoma State provides a spectrum of undergraduate and graduate programs, known for their quality and relevance in today's job market.

Economic Indicators in Santa Rosa

In evaluating the Santa Rosa real estate market, two key economic indicators stand out: the employment rate and local business growth. These indicators are pivotal for homeowners and residents, as they directly influence market dynamics.

Employment Rate

The employment rate is a fundamental economic indicator reflecting the health of the Santa Rosa real estate market. The National Association of Realtors (NAR) reported a quarterly increase in total non-farm employment, showing positive momentum. For instance, employment figures rose from 185,000 in 2020 Q2 to 195,000 in 2021 Q2, indicating a robust economic recovery after a downturn.

Local Business Growth

The growth of local businesses is integral to residential stability and homeowner confidence. Utilizing data generated by the Census Bureau Data API, analysts observe trends in new business registrations and expansions. This growth often results in increased demand for both commercial and residential real estate, as new employees seek housing and companies expand their footprints. Santa Rosa’s market analysis from various quarters shows a correlation between the rise in local economic activity and real estate market performance.

Data Reliability and Resources in Santa Rosa

When considering the Santa Rosa real estate market, data reliability centers on the accuracy, completeness, and timeliness of information. Sources such as Redfin and Guaranteed Rate provide significant insights, often derived from multiple listing services (MLS) and public records.

Public records are foundational to real estate data; they include recorded transactions, deeds, and property assessments that anyone can access, ensuring a level of transparency. However, these records may not always present the most current state of the market due to processing delays.

Entities like PropertyShark and HomeLight rely on a blend of public records and proprietary algorithms to offer market trends. While they strive for accuracy, minor discrepancies might occur, as they may update their data at different intervals.

When utilizing services from companies like Guaranteed Rate, it is critical to recognize the role of third parties in aggregating and analyzing market data. These firms often disclaim liability for errors, indicating that while they aim to provide accurate data, they cannot guarantee it without exception.

Moreover, most real estate databases assert copyright over their content. This ownership protects their compilations and analyses of data from unauthorized use or distribution, ensuring that the providers can maintain the integrity and completeness of their offerings.

In sum, reliable resources synthesize information with diligence, yet consumers should cross-reference data and acknowledge the inherent limitations imposed by reliance on third parties and the timing of public record updates.

Frequently Asked Questions

The Santa Rosa housing market has shown a variety of trends and changes within the past year. These FAQs aim to provide clarity on the current state and trends within the market.

What is the current average home price in Santa Rosa, CA?

The current average home price in Santa Rosa is reported to be approximately $683,000, indicating a relatively stable pricing landscape within the region's real estate market.

How have home prices in Santa Rosa, CA changed within the last year?

Over the last year, Santa Rosa's home prices have experienced a marginal change; homes sold for 3.6% more than the previous year with a median price of $737,500 in February 2024.

What is the median income in the Santa Rosa area?

Accurate, current data on the median income in Santa Rosa, CA is not provided here. However, median income is a significant factor in assessing the affordability of the housing market for residents.

How does the Santa Rosa housing market compare to other hot real estate markets in California?

Santa Rosa's market demonstrates unique dynamics compared to other California markets: while prices here are on the rise, some neighboring cities are experiencing varying rates of appreciation or depreciation, reflecting diverse market conditions.

What trends are currently influencing the Santa Rosa real estate market?

Current trends reveal a shift in market times, with homes selling faster than in previous years, and variations in sales volume indicating a dynamic real estate environment.

Is the Santa Rosa housing market considered favorable for investment?

Investment favorability in Santa Rosa is shaped by several factors, including trends in sales and pricing. Given the incremental price increase and sustained demand, some may view it as a potential investment opportunity.

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