The Reno-Sparks real estate market saw a decline in median sales price for the first time in the last four months. From the established price ceiling of $575,000, November saw a decrease of nearly 3.5% to $555,000.
While this isn’t great news for the market, this decline was expected for two main reasons: low transactional sales volume throughout this year, and seasonality. 2023 has seen a nearly 30% decrease from the historical average in transactional sales volume. As we head into the low season for the Reno-Sparks real estate market, especially in combination with these lower volumes, buyer demand and home prices are likely to maintain at lower levels.
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November Reno-Sparks Real Estate Trends
- Median home price in November was $555,000. A decrease of 3.5% month-over-month, but an increase of 1% year-over-year. Looking at historical trends, it’s likely that December will end the year with a median home price around $550,000, indicating a 5%-6% appreciation for the year overall.
- 324 homes were sold in the Reno-Sparks area in November, a 5% decrease month-over-month and 7% decrease year-over-year. With the seasonality of the market, this trend is likely to continue through February 2024.
- In November, 289 new homes entered contract – down 10% month-over-month and 7% year-over-year. Compared to past data, this is an historic low. This metric is indicative of low demand in the market.
- 268 new listings were also brought to the Reno-Sparks market in November, a decrease of 28% month-over-month, and 6% year-over-year. This low seller inventory, combined with the market's low buyer demand, is keeping the local market in a place of stabilization.
- November saw 721 homes in active inventory. This 12% month-over-month decrease and 29% year-over-year decrease, combined with the other market statistics, indicates a buyer’s market in the Reno-Sparks area.
- Buyers are taking more time to consider their options and get into contract. Average days to contract increase 22% month-over-month to 35 days—still an 18% decrease year-over-year.
- Homes in the market are currently closing at 97.9% of asking price. While this is nearly normal, it is starting to decline, supporting the trend of a buyer’s market in the Reno-Sparks area.
As the Reno-Sparks real estate market continues to be impacted by seasonality, these lowered statistics are likely to continue. However, with a combination of low inventory and low buyer demand, the market is likely to remain stable heading into the final month of the year and beyond.
