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Average Sonoma Home Prices

Sonoma County Home Sales Prices chart since 2000
Sonoma County Home Sales Prices 2000-2022

Rising home prices are a popular topic for homeowners. Not so much for renters and others trying to buy property in a challenging market. This century witnessed prices plummet in 2008 after the financial crisis. Since the market bottom in 2011 prices have shown a steady rise year over year. Covid helped shape a new market. Working from home ballooned into the primary way office workers did their jobs. Attractive locations with low home prices relative to San Francisco and the Peninsula took off in value. Last year saw record increases in prices.

Rising interest rates make the recent price increases challenge the real estate market. A useful tool from the California Association of Realtors called the affordability index shows that only 18% of California households could afford to buy the median priced home in the 3rd quarter of 2022. It hasn’t gotten better.

Prices and interest rates are going to be the story of real estate for the foreseeable future. The steady increase of home prices over the last decade is over for now. Sellers are going to have to accept that they will not get the record breaking prices their neighbors may have gotten in 2022. Until interest rates stabilize at more affordable levels, buyers will have to accept that their choice of homes will have a lower price ceiling.

Posted in: Healdsburg, Healdsburg Real Estate, Real Estate, Sales Trends, Sebastopol, Sebastopol Real Estate, Sonoma, Sonoma Real Estate, Stats

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