McCormick Ranch Price Update: September 2020

As we have moved through the summer, the hot temperatures have not slowed down the McCormick Ranch real estate market. Homes continued to sell extremely quickly and in range of the highest nominal prices ever seen.

Single family home and condo sales prices are up 12.7% year over year. Patio homes have remained flat while townhomes are up a remarkable 19.5%. However, I wouldn't put too much faith in the townhome and patio home numbers as there is a lot of cross over in how they are listed. The truth for both is likely in line with the 10-12% mark.

Price per square foot has followed a very similar path. Single family home and condos are up around 11% year over year. Townhomes are up around 18% and patio homes are up a smaller 3.6%.

The monthly sales chart is really showing a couple of different time frames. We can see the fourth quarter taper off from 2019. This lasted through January 2020 when the spring season really kicked off. February and even March were solid and then the bottom fell out due to Covid. Finally, beginning in June sales and interested rocketed forward.

Lastly, we can see that Days on Market is still at extreme lows. There were 57 home sales in McCormick Ranch in August. As of September 1st, we had just 49 active and available homes listed for sale. This means our absorption rate is .86 months. All of the active homes will theoretically be sold within 26 days meaning this is still an extreme sellers market.

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Yours in McCormick Ranch real estate,

Randy Arriola