Kentfield Real Estate – 2022 Year End
An Inside Look at Marin County Real Estate
2022 was met with rising mortgage interest rates, stock market declines, inflation, and economic uncertainty that effected the Marin Real Estate Market, most notably in the second half of the year.
The second half of 2022 began to show a real shift in the overall market. Although fewer homes typically sell during the second half of the year compared to the first half, the second half of 2022 experienced a significant 20% reduction in sales volume compared to the first half of 2022. By comparison, the difference was just 8% between the first and second half of 2021.
The speed and change in market conditions are highly city-specific and supply-driven: communities experiencing a continual low number of homes for sale will benefit from buyers who are motivated and able to purchase.
While it is difficult to predict the near-term impacts of mortgage rate hikes and macro-economic headwinds, some buyers have paused their plans to purchase as they wait for additional clarity in the financial markets. On a positive note, household finances are solid and may potentially lead to more buyer activity once the economic trajectory is clear.
More expensive homes sold in Kentfield during 2022 as 4 homes sold priced above $10 million, versus two selling in 2021. Although, 30% fewer homes sold in 2022 compared to 2021, the average selling price increased to $4 million. Twenty-five homes sold during the 2nd half of 2022 compared to 39 homes selling during the same period in 2021.
During the 2nd half of 2022, Kentfield did experience the effects of changing economic conditions as more homes sold below the asking price (48%) at an average of 11% below. For those homes selling over the asking price, the average percent over was 12.2% compared to 18.7% during the 1st half of 2022. The average price per square foot sold decreased by 7.4% compared to the first half of 2022.
The long-term limited availability of Kentfield homes and its continued desirability will likely prevent any great shock to the market. Current activity and pricing may become further impacted if buyer reluctance accelerates due to a dramatic deterioration of economic conditions.
With the market in transition, it is now vitally important to prepare your home to look its absolute best. Homes in sought after locations that are prepped for sale and priced to reflect the current market are experiencing noticeable buyer interest.
Feel free to call me to discuss maximizing the value of your home and pricing. I can also share with you how I will make your selling experience – from readying your home for sale to clear through the end of your move – hassle-free.