Today's post is all about the numbers. Some times that is all my clients want; some facts to mull over and chew. The
- First time home buyers in 2006 were a smaller share of the Real Estate market, dropping from 30.5% in 2005 to 27.1% in 2006.
- Those using zero down payments increased dramatically from 4.5 % in 2000 to 21.1% in 2006, and of those using zero down payments, 2/3 were first time home buyers.
- 6% seems to be the magic threshold for interest rates and market activity. Since 2002 as interest rates fell below 6% market activity increased, and activity slowed as it approached 6% for the years 2003-2004. Activity has decreased as rates went above 6% starting in late 2005.
- Bay Area home sales decreased 10% in 2005 from 2004, and in 2006, home sales decreased 19% from the previous year.
- The state wide median sales price increased 14% on a year to year basis until we reached 2006 which closed out with a 2% increase for the year.
- The typical first time home buyer was 35 and married in 2006. Typical repeat buyer was 45.
- The typical home seller was 50.
- Median net cash gain peaked in 2005 at $220,643, and declined in 2006 by 8.4% to $202,000 for the first time since 1997.
Those are some of the numbers for 2006.
