Sonoma Market Update Q42013

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MARKET UPDATE | Q4 2013 SONOMA | NAPA | WINE COUNTRY SONOMA VALLEY MARKET SUMMARY (SFH) Q4-2013 - SONOMA VALLEY VOLUME

22% < $500k

44%

$500k - $1.0M $1.0M and up

34% A MESSAGE FROM OUR MANAGER: JEFFREY GIBSON The fourth quarter of 2013 demonstrated a leveling of the robust Wine Country real estate market as compared to the fourth quarter of 2012, according to the Bay Area Real Estate Information Services (BAREIS), and as demonstrated in the corresponding charts. The inventory shortage in Sonoma Valley and Healdsburg continues to propel prices upwards while sales volume declined compared to 2012. Despite the overall decline in sales volume, single-family homes (SFHs) in Sonoma Valley in the $500,000 to $1,000,000 range increased six percent. The average sales price for SFHs in Sonoma Valley increased from $732,767 in 2012 to $751,813 in 2013 - a three percent change.The average sales price in Healdsburg increased by 11 percent, from $781,100 in 2012 to $866,676 in 2013.

WINE COUNTRY Brokerages 25 East Napa Street | 707.935.2288 722 Broadway Street | 707.939.2230 428 First Street East | 707.939.4460 369 West Napa Street | 707.935.3450

Source: BAREIS

Average sales prices of single-family homes in Sonoma Valley increased from $732,767 in the fourth quarter of 2012 to $751,813 in the fourth quarter of 2013. Average sales prices of homes less than $500,000 jumped up 16 percent, while prices of homes in the $1,000,000+ range decreased by 14 percent. The shortage of inventory throughout Sonoma Valley has resulted in a three percent decline in the number of units sold and a one percent decrease in overall sales volume. The total sales volume in the fourth quarter of 2013 was $83,451,275.

healdsburg MARKET SUMMARY (SFH) Q4-2013 - HEALDSBURG VOLUME 16% < $500k $500k - $1.0M

52% 32%

$1.0M and up

Source: BAREIS

In Healdsburg, the average sales price for single-family homes rose 11 percent in comparison to 2012, with the average home selling for $866,676 in the fourth quarter of 2013. The average price of homes selling for more than $1,000,000 decreased by 24 percent, while the total number of units sold in that price range remained consistent with the previous year. The shortage of inventory resulted in a 26 percent overall drop in sales volume, and homes in the $500,000-$1,000,000 range saw a 7 percent decrease. The total sales volume in the fourth quarter of 2013 was $34,667,056.


SONOMA VALLEY ABOUT SONOMA VALLEY Approximately 40 miles north of San Francisco, Sonoma real estate is perfectly situated to maximize residents’ quality of life. Although world-renowned as a wine mecca, Sonoma maintains the tight-knit feel of a small community, with a charming downtown. In 1846, the California Republic declared its independence from Mexico, with Sonoma named the capital of this shortlived sovereign state. Consequently, Sonoma is known as the birthplace of California, a town rich in history surrounded by breathtaking natural beauty.

Q4 average sales price (sfh) PRICE RANGE Up to $500,000 $500K - $1M $1,000,000 and up TOTALS

2010 $312,675 $679,589 $1,772,076 $592,086

2011

2012

$319,993 $333,631 $693,346 $688,919 $1,651,909 $1,935,850 $529,978 $732,767

2013 $386,717 $678,150 $1,672,423 $751,813

% CHANGE (2013 v 2012)

16% -2% -14% 3%

$900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $2010

2011 Average List Price

2012

2013

Average Sales Price

Q4 CLOSED UNITS: # OF SIDES (sfh) PRICE RANGE Up to $500,000 $500K - $1M $1,000,000 and up TOTALS

2010

2011

2012

2013

51 28 10 89

79 26 11 116

56 39 20 115

47 42 22 111

% CHANGE (2013 v 2012)

-16% 8% 10% -3%

140 120 100 80 60 40 20 2010

2011

2012

2013

Q4 CLOSED VOLUME (SFH) PRICE RANGE Up to $500,000 $500K - $1M $1,000,000 and up TOTALS

2010

2011

2012

2013

$15,946,400

$25,279,419

$18,683,349

$18,175,700

$19,028,500

$18,027,000

$26,867,850

$28,482,280

$17,720,760

$18,171,000

$38,717,000

$36,793,295

$52,695,660

$61,477,419

$84,268,199

$83,451,275

% CHANGE

$90,000,000

(2013 v 2012)

$80,000,000

-3% 6% -5% -1%

$70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $2010

Serving sONOMA AND NAPA | sothebyshomes.com/sonoma-real-estate

2011

2012

2013


healdsburg ABOUT healdsburg The quaint hamlet of Healdsburg, located at the gateway of Sonoma County’s diverse wine growing region, is just 75 miles north of San Francisco. Healdsburg is a vibrant community with world-wide recognition as a popular destination for visitors looking to experience the American Tuscany. It is a welcome retreat, catering to its visitors and residents with first class hotels, spas, restaurants and boutiques. Many Victorian and Craftsman style homes reflect the towns rich 150 year old heritage.

Q4 average sales price (sfh) PRICE RANGE Up to $500,000 $500K - $1M $1,000,000 and up TOTALS

2010 $340,387 $730,714 $2,504,375 $867,866

2011

2012

$317,014 $356,161 $709,219 $668,889 $1,425,000 $2,162,273 $591,786 $781,100

2013 $392,107 $743,370 $1,638,818 $866,676

% CHANGE (2013 v 2012)

10% 11% -24% 11%

$1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $2010

2011

Average List Price

2012

2013

Average Sales Price

Q4 CLOSED UNITS: # OF SIDES (sfh) PRICE RANGE Up to $500,000 $500K - $1M $1,000,000 and up TOTALS

2010

2011

2012

2013

23 7

22 16 5 43

31 18 11 60

14 15 11 40

8

38

% CHANGE (2013 v 2012)

-55% -17% 0% -33%

70 60 50 40 30 20 10 2010

2011

2012

2013

Q4 CLOSED VOLUME (SFH) PRICE RANGE Up to $500,000 $500K - $1M $1,000,000 and up TOTALS

2010

2011

2012

2013

$7,828,900

$6,974,300

$11,041,000

$5,489,500

$5,115,000

$11,347,500

$12,040,000

$11,150,556

$20,035,000

$7,125,000

$23,785,000

$18,027,000

$32,978,900

$25,446,800

$46,866,000

$34,667,056

% CHANGE

$50,000,000

-50% -7% -24% -26%

$40,000,000

(2013 v 2012)

$45,000,000 $35,000,000 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $2010

2011

2012

2013


ON THE MARKET FEATURED PROPERTIES

LISTINGS AROUND THE WORLD IN THIS PRICE RANGE

healdsburg, CA

in metropolitan markets

Healdsburg Modern Price: $3,595,000 Agent: Sheri Morgensen

Houston

Brooklyn

San Francisco

4 br / 4 ba / 2 hf ba $3,850,000

3 br / 2 ba / 1 hf ba $3,400,000

3 br / 2 ba / 1 hf ba $3,000,000

SANTA FE

PALM BEACH

Ojai

3 br / 4 ba / 1 hf ba $3,000,000

4 br / 4 ba / 1 hf ba $2,950,000

3 br / 3 ba $3,600,000

South Africa

Puerto Rico

Australia

$2,593,121

7 ba / 1 hf ba $3,600,000

3 br / 3 ba Price Upon Request

in resort markets Distinctive contemporary home on approximately 19 acres overlooking Healdsburg’s renowned Dry Creek Valley. Soft modern design elements blend harmoniously with the environment creating a warm and inviting retreat in a resort like setting. Set atop a ridgeline, with panoramic views across the rolling hills and vineyards of Dry Creek Valley to the Mayacamas Mountains and east to Mount Saint Helena in Napa.

in foreign markets

AT sotheby’s AUCTION

Songye “Four Horn” Community Power Figure The Collection of Allan Stone 15 November, 2013 Estimate: $600,000-$900,000

The Pink Star Rare English & European Magnificent Jewels 13 November, 2013 Sold: $84,730,214.30

sothebys.com


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