I eliminated the category of short sales in contract, but awaiting bank approval, to arrive at the number of 9433. If you add those the number shoots up to 12,274.
I am using Sacramento, Placer and El Dorado counties.
The October sales showed Metrolist reporting about two thousand sales... So it is either 4.7 months or it is 6.1 months.
I'll go with the 4.7 because I don't consider a house under contract is really part of our truly available inventory. In a stretch maybe, but usually the buyer wants to complete the deal if the bank agrees, and the buyer can get a loan.
This is a broad search includes town homes, condos and luxury homes. These categories usually have longer marketing times than an "average house"....
For a realistic point of view assessment for most buyers not seeking luxury or devastated fixers lets eliminate the 20% most likely to sit longer. I'll look at only single family homes under $400,000. NO fixers, no condos.
That is 1600 sales. 6960 listings That is 4 months 10 days average. Add the 2300 short sales in contract awaiting bank approval, we are up to 9260 5.months, 3 weeks.
For a further breakdown: The 9260 can be broken into 5,000 short sale listings and 1625 that are REO and 2635 other.
For the 1600 October sales the numbers approximate 400 short sales 625 REO (Bank owned): 600 other.
Broken down, the short sale inventory is approximately 6.75 months, The REO inventory approximately 2.6 months and the other at about 4.4 months.
When the media reports inventory , consumers sometimes fail to realize that "the inventory" usually includes thousands of houses that are unsaleable to them either because of condition, location, price or other factors. Then they are shocked to find that there only a few houses with motivated, willing and able sellers that match their search criteria.