The so-called Bay Area “exodus” appears to have tapered off and average Emeryville rents have climbed approximately 13% since bottoming out in December 2020. Despite this increase, rents for 1-bedroom units are still down 19% since their “peak” prior to the pandemic and down about 8% for two-bedroom units.
One of the factors of the increase is thought to be the return-to-work policies of larger companies who have begun reopening their offices sending employees back to the area. Employee pushback and the rise of COVID variants threatens to slow this process.
Meanwhile, a reported 16% of renters are behind on their payments. The City of Emeryville and other cities have extended their Residential and Commercial Eviction Moratorium until September 30. This recent article in The Economist raises concerns of the possibility of a housing crisis coinciding with the current housing price-boom.
Rents for 1 Bedroom flat, rise for 2 Bedrooms
Emeryville ranked as the 7th most expensive city in the Bay Area to rent in June. The price of one bedroom units stayed steady at median of $2,200, while two bedrooms rose 2.2% to $3200.
On a year-to-year comparison, rents are down by 11% for 1 bedroom units and down 5% for 2 bedroom units in Emeryville.
Property Sales continue to drop
There were 14 property sales in June, down -12.5% from 16 in June, 2020 and -17.6% lower than the 17 sales last month. Monthly June 2021 sales were at a mid level compared to June of 2020 and 2019. YTD sales of 91 are running 78.4% ahead of last year’s year-to-date sales of 51.
Median Sales Prices up compared to May 2021
The Median Sales Price in June was $679,000, down -4.3% from $709,500 in June of 2020 and up 31.6% from $516,000 last month. The Average Sales Price in June was $963,143, up 44.6% from $666,219 in June of 2020 and up 75.1% from $549,912 last month. June 2021 ASP was at highest level compared to June of 2020 and 2019.
Inventory stays low
The Total Inventory of Properties available for sale as of June was 9, down -10.0% from 10 last month and down -47.1% from 17 in June of last year. June 2021 Inventory was at the lowest level compared to June of 2020 and 2019.
A comparatively lower MSI is more beneficial for sellers while a higher MSI is better for buyers. The June 2021 MSI of 0.6 months was at its lowest level compared with June of 2020 and 2019.
Days on Market at a mid range
The average Days On Market (DOM) shows how many days the average Property is on the Market before it sells. An upward trend in DOM tends to indicate a move towards more of a Buyer’s market, a downward trend a move towards more of a Seller’s market. The DOM for June was 22, down -4.3% from 23 days last month and down -18.5% from 27 days in June of last year. The June 2021 DOM was at a mid range compared with June of 2020 and 2019.