The town of Placerville in California is perfectly located in the foothills of the Sierra Nevada Mountains, between Lake Tahoe and the beach. The county seat of El Dorado County, Placerville is listed as one of Niche’s 2019 Best Places to Live in El Dorado County. Residents love the sense of community, the small town atmosphere, the friendly people, the thriving small business scene, and the relatively lower cost of living in Placerville compared to the rest of California. One more reason why a lot of homebuyers with families, as well as those who have plans of starting their own family in the near future, decide to move to this region is the excellent quality of education that the school districts provide to the youth. Placerville is known to have reputable public schools from Placerville Union Elementary and Mother Lode Union Elementary, with students achieving a higher total score than the statewide and national average for all grade levels tested.
If you are a homebuyer who is interested in investing in a Placerville, CA property, here are a few relevant information about the real estate scene in this lovely town.
Types of Homes in Placerville, California
The most common type of housing in Placerville, CA are single family detached homes. In fact, 67.92% of the town’s housing units are single family homes, while 14.75% are large apartment complexes or high rise apartments, 10% are duplexes, homes converted to apartments, or other small apartment buildings, and 4.45% are mobile homes or trailers. Approximately 58% of Placerville’s residents are homeowners, while the remaining 42% are renting.
Most residents in Placerville live in small single family detached homes with one to two bedrooms. Most of these single family homes were built from 1970 to 1999, giving off an old school feel to the neighborhood. There are still a lot of older housing that were built between 1940 to 1969, accounting for 31.73% of these homes. Approximately 11.52% of the houses were built before 1939. More recently built houses that were constructed from the year 2000 onwards comprise 14.69% of the town’s homes.
Median Home Value of Residential Properties in Placerville, CA
The homes in Placerville, CA and surrounding residential areas are comparatively affordable, at a median home value of $428,000, while the median home value in the rest of the state of California is $547,700. The median price of homes listed is $475,000, while the median price of homes sold is $411,200. The median list price per square foot in Placerville is $257. This is higher than the Sacramento–Roseville–Arden-Arcade Metro average of $247. Home values have gone up 6.7% over the past year and predicted to rise 2.7% within the next year.
Market Conditions in Placerville, CA
The average days on the market (DOM) for Placerville homes during the first three months of 2019 is 56, with a list to sale price ratio of 98.4%. The term days on the market refers to the number of days from the date on which the property is listed for sale on the local brokers’ multiple-listing services (MLS) to the date when the seller has signed a contract for the sale of the property. A high average DOM indicates a weak market which is in favor of buyers, but this may also be influenced by seasonality. Days on the market are generally higher during the winter. While the past months’ average DOM seem to be high, it is also important to note that the average days on the market for Placerville for 2018 was 29.
The list price to sale price ratio (LP:SP), sometimes referred to as sale price ratio, is the ratio of the final sale price of a home to its list, or asking, price. This is computed by dividing the sale price by the list price. If the ratio is greater than 100%, that means that the buyer paid more than the list price. Conversely, if the ratio is lower than 100%, this means that the property was sold for less than its list price. A 98.4% list price to sale price ratio indicates that homebuyers are able to negotiate with the sellers to lower their final sale price.
Home Appreciation Rates in Placerville, CA
Over the last twelve months, the home appreciation rate in Placerville, CA has been 3.52%. This is lower compared to the home appreciation rates in most communities in the nation. And over the latest quarter, reports show that house appreciation rates in this town were at -0.09%, which equates to an annual appreciation rate of -0.34%. Moreover, Placerville’s latest annual appreciation rate is lower than 50% of the other cities and towns in California.
What does this mean for homebuyers? Declining home appreciation rates are actually advantageous for homebuyers, affecting home affordability in a positive way. The monthly payment required to purchase an average priced home with a 20% down payment has gone down by 6% in the past six months. Now, only $1,173 is required per month to purchase an average priced home. This is the lowest amount in over a year. With regards to income, only 22% of the median income is now required to purchase an average priced home.
Whether you’re a young couple looking to settle down in a nice, peaceful community where you can raise your kids, a young professional who would like to invest in a home property, or a retiree searching for the perfect sanctuary, Placerville is definitely a wonderful place to live in. Our team can help you find your dream home and show you all the best options available for you that matches your lifestyle, preferences, and budget. Please feel free to give us a call at 530-647-0865 if you have any questions or if you would like to schedule an appointment. You may also send us your inquiry through email at [email protected] and we will get back to you the soonest possible time.