Whitney Ranch Market Update | February 2024

Whitney Ranch Market Update | February 2024

The opening month of 2024 is delivering a case of déjà vu for the Whitney Ranch real estate market. January 2024 offered a nearly identical result to same month in 2023 with 5 residential transactions and approximately $5,000,000 in total sales volume.

This figure lags the historic average for January by a meaningful 40%. In 2023, January underperformed the rest of the year relative to historic averages. A year ago, it was easy to ascribe this performance to an overabundance of winter weather and tight inventory. This year, weather is much less a factor however inventory remains constrained with just under 3 months’ supply available.

There is a prevailing sense of optimism for conditions more favorable to buyers in the form of friendlier interest rates which will, in turn, unlock supply from would-be sellers able to make a subsequent purchase. Perhaps ironically, the expectation of these improved conditions may be stymying near-term activity as consumers await the better times to come.

Of the relatively modest number of transactions, pricing was robust continuing an upward trajectory from the second half of 2023. Average price notched up ever so slightly to $998,000 in January.

Two of five sales eclipsed $1,000,000; a notable benchmark for the community. While a very small sample size, 40% of closings above the 7-figure threshold, is a meaningful uptick and may be indicative of a new tolerance for premium pricing within the community.

Similar results are likely through Q1 with the expectation of improving velocity beginning in early Q2 through year end.