Home Values Projected to Keep Rising

As we enter the final months of 2020 and continue to work through the challenges this year has brought, some of us wonder what impact continued economic uncertainty could have on home prices. Looking at the big picture, the rules of supply and demand will give us the clearest idea of what is to come.

Due to the undersupply of homes on the market today, there’s upward pressure on prices. Consider simple economics: when there is high demand for an item and a low supply of it, consumers are willing to pay more for that item. That’s what’s hap... Read more

Some Highlights
There are a lot of misconceptions about buying or selling a home today, making it challenging to know exactly how to navigate the current real estate landscape.
Here’s a little clarity when it comes to 5 common myths about the 2021 housing market.
Let’s connect to discuss your needs and so you can decipher facts from fiction in our local market.... Read more

Two consecutive solid monthly gains for builder confidence, spurred in part by easing mortgage rates, signal that the housing market may be turning a corner even as builders continue to contend with high construction costs and building material supply chain logjams.
Builder confidence in the market for newly built single-family homes in February rose seven points to 42, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). This is the strongest reading since September of last year.
With the largest monthly increase for builder sentiment s... Read more

The weekly market update from Mike Simonsen of Altos Research. Today’s highlight is the focus on how Home prices have started to slip in a few states. Here are the highlights of the report:
Mortgage rates have recently surged into the 7% range, contributing to a slowdown in immediate home sales and an increase in price reductions, especially in states like Florida, Arizona, and Texas.
National home prices remain slightly higher compared to last year, but specific states are beginning to see declines.
There’s a significant rise in housing inventory, with a 1.7% increase this w... Read more

One of Ming Tree’s services to Buyers and Sellers is to provide market data. The link here shows the market is balanced in Eureka, with just a slight lean to favor sellers. A very good time to be a buyer as the advantage will move more towards sellers as we move into spring and the full affects of the SoCal fires cause an intra state migration. Interest rates should not be a deterent to move on purchasing as the rates will be very steady around 7%. Ask your lender to add into your mortgage loan the ability to do a simple refi adjustment on rates should we see a decrease. This advice ... Read more

When it comes to building wealth, the choice between real estate and the stock market has been a long-standing debate. Popular media often highlights stock market booms, cryptocurrency surges, or tech IPOs, but they rarely dig into the long-term reliability and tangible advantages of real estate. In regions like Humboldt County, where the real estate market includes vibrant communities such as Eureka, Arcata, Fortuna, and Ferndale, the conversation becomes even more relevant. While both investment paths have their merits, there are critical differences, overlooked factors, and regional dynamic... Read more

Here’s the truth. And it’s not what the news is telling you.
Everybody’s been hitting me up asking the same question this week: what does this Iranian war mean for the housing market?
So let’s go. I’m going to break this down for you in plain English — no spin, no panic, just the facts.
Where We Were Before It Hit
Mortgage rates dropped below 6% for the first time in years. Spring market was heating up. Demand was picking up. Inventory was still tight. It was starting to feel like the market was turning a corner.
Then on February 28th What the ... Read more

Pending home sales came in slightly over 4% above the same week of 2025. The 30-day average for home sales is running about 3% higher than 2025, and year-to-date approximately 650,000 pending sales contracts versus 630,000 same time last year. For the last two weeks, more new pending contracts than the same two weeks in the last three years. Positive improvement for heading into the second quarter.

New listings are running below last year’s inventory. For the same period, 62,000 newly listed single-family homes versus 64,000 a year ago. More sales, fewer sellers and potential sellers ... Read more

The Silver Lining to the National Home Sale Projections from Yesterday is that the NW California and specifically Humboldt County, housing market is solid in multiple sectors.
Yesterday, Monday, April 13th, the chief economist, Lawrence Yun, released a press statement stating a lower revision than previously stated for the number of homes projected to sell nationally, from 14% increase to a 4% increase over 2025.
The buyer demand is still very strong with a shortfall of homes available in certain sectors, such as 300-500,000 dollar range. This portion of the market in Humboldt Count... Read more

"Just when the spring housing market looked like another bust, sales have surged for two weeks running. Newly pending home sales this week came in 10% above the same week last year, and the 4-week rolling average is 6.5% ahead of 2025." - Mike Simonsen at Compass shares today.

Two weeks are not a trend, but certainly outperform year-over-year numbers. This trend has not made it to Humboldt County yet as our number of homes sold were 78 compared to 92 sold in April last year. Inventory is still tight and in most segments down from last year. Median sold prices were down in April in 5... Read more