ALAMEDA COUNT Y Q3

A market overview of single-family detached home sales 2010

UNIT SALES Despite Post-Tax Credit Sales Slowdown,
Tight Inventory, Multiple Offers Push Home Prices Higher
Despite a slowdown in home sales following the
expiration of federal tax incentives, a declining inventory of
entry-level and bank-owned homes and multiple offers on
many properties helped propel home prices higher on an
annualized basis in Alameda County during the third quarter,
3,110
communities. Leading the way with a 43 percent year-over-
year increase was Oakland, followed by Albany, Hayward and
Pleasanton (all +11%); Fremont (+9%), Union City (+8%)
and Castro Valley (+7%).
Most communities experienced sharp drops in the num-

according to a report by the research division of Better Homes ber of transactions as homebuyers who did not complete a
2,343

and Gardens Mason-McDuffie Real Estate based on an
analysis of MLS data.
Countywide, 2,343 existing, single-family detached
homes changed hands in the third quarter, a 17 percent drop
from the second quarter and 25 percent below the 3,110
homes sold in the third quarter of last year. Ironically, homes
Q3-10 Q3-09 sold at an extremely rapid pace. The average number of days
on the market before sale fell to only 38 days for the quarter,
down from 46 days a year ago – a sign that inventory was
tight and buyers were moving quickly to purchase homes
priced for the market.
The net result was higher home prices. Countywide, the
median sales price declined 2 percent for the quarter to
MEDIAN PRICE**
$442,079 but was 14 percent higher than the $388,134 median
sales price registered a year ago. Home prices were sharply
higher on an annualized basis in 11 of 15 Alameda County
$442,079
purchase in time to qualify for federal tax incentives awaited
additional motivation to buy. However, sales of luxury homes
continued to recover as move-up buyers took advantage of
favorable prices and improved financing terms. Home sales
were up 76 percent from a year ago and 50 percent from the
second quarter in Piedmont, and sales in Berkeley were up 8
percent on an annualized basis.
With no tax incentive to motivate homebuyers, the pace
of sales may continue to slow in the coming months. Prices
are not likely to follow suit unless banks dramatically increase
the flow of bank-owned homes. Interest rates likely will
remain at their lowest levels since 1971. Because ready-for-
occupancy properties are in short supply, increasing numbers
of homebuyers may wish to consider an HUD/FHA 203k
loan, which offers a low down payment bundled with a home
renovation allowance.

$388,134

M A R K E T C O M P A R I S O N
City Homes Homes % Avg Avg Change Median Median %
Sold Sold Change DOM* DOM* ‘10/‘09 Price Price Change
Q3/10 Q3/09 Q3/10 Q3/09 (days) Q3/10 Q3/09

Alameda 69 90 -23 34 47 -13 $649,000 $624,000 4

Q3-10 Q3-09
Albany 19 25 -24 29 47 -18 $620,000 $559,000 11

Berkeley 128 118 8 28 39 -11 $671,250 $670,000 .2

Castro Valley 111 139 -20 35 55 -20 $490,000 $460,000 7

Dublin 81 108 -25 34 42 -8 $642,500 $604,000 6

For more information contact
Fremont 295 377 -22 41 42 -1 $609,000 $560,000 9
Pamela Oettel
2 Tunnel Road Hayward 258 437 -41 46 48 -2 $292,100 $262,000 11
Berkeley, CA 94705
Livermore 193 240 -20 46 48 -2 $429,950 $450,000 -4
Cell: 510-703-8636
pamoettel@comcast.net Newark 73 91 -20 42 38 4 $410,000 $395,000 4
wesellbayareahomes.com Oakland 649 859 -24 43 50 -7 $250,000 $175,000 43

Piedmont 37 21 76 35 35 0 $1,216,000 $1,400,000 -13

Pleasanton 138 188 -27 34 52 -18 $768,500 $691,000 11

San Leandro 149 201 -26 43 46 -3 $320,000 $328,000 -2

San Lorenzo 45 78 -42 45 42 3 $292,000 $320,000 -9

Union City 98 138 -29 42 56 -14 $457,500 $425,000 8

* Days on market is the number of days a property was listed on the market until it went under contract at its final listing price.This may not reflect previous listings.
**The median home price for the entire county is the mean of median home prices of cities within Alameda County.
Data are sourced from multiple listing services and are deemed reliable but not guaranteed. All percentages rounded to nearest whole number.
Produced by the Better Homes and Gardens Mason-McDuffie Real Estate Research Division.