In an economic climate that includes rising gas prices, a plethora of new business activity, and robust government spending, the local housing supply continues to be an issue.
In a report released last week, local realtor Bob Getto explained that the Churchill County housing inventory is incredibly low. In an effort to explain the local housing supply, Getto defined “absorption rate” as the number of months supply of unsold inventory within the local real estate market. He said with 61 residential units available, 14 are active for sale without a pending contract, as compared to 47 for sale with a pending contract.
“The Churchill County absorption rate is half of a month. The National Association of Realtors describes a balanced market as between five- and seven-months supply of inventory,” said Getto.
According to Getto over the past year, from March 1, 2021, to February 28, 2022, there were 334 residential units sold in Churchill County. The previous year there were 300 sold, and the year before that 330. In comparison with Fernley, there were 650 units sold during the March 2021 to 2022 timeframe. That average sold price during the entire 2022 year was $332,252, and during that timeframe, the average days on the market, from the listing date to the closing date, was 74 days. In Fernley, it was 68 days.
Getto is with Ferguson & Getto Inc. Realtors and has been in the real estate business in western and northern Nevada since 1985. He currently serves as the Churchill County Public Administrator. A former Director of the Sierra Nevada Association of Realtors, he provides the Residential Real Estate Tracking Report upon request.
Another local report on Northern Nevada real estate, which includes Fallon and Churchill County was also released this week, the Market Statistics for February by Sierra Nevada Realtors. That report covers only February 2022, as compared to the annual report from Getto, and lists the Median Sales Price at $352,500. During the month there were 32 closed sales, 24 new listings, and houses were staying on the market for an average of 11 days. The average square foot price in February was $226/sq. ft. and the active inventory was 22 units.
The rental market remains bleak, with one house listed for rent on Rent.com, a 3-bedroom, 2-bathroom for $1,700 per month. Century 21 has no rentals available on their website, but has posted a message saying, “We are currently renting properties faster than we can list them, please call our office for our current rental list.”
Wallace Realty lists a 3-bedroom, 1 ¾-bathroom mobile home for $1,200, a 3-bedroom 2-bath home for $1,600, and two apartments – a 2-bedroom for $1,000 and a 3-bedroom for $1,350. Neither Rogne Realty nor Berney Realty has any rentals listed.
Currently, Churchill County staff is working with a developer on a project that could bring more housing to a 40-acre parcel off of Coleman Road. The County also continues to work on developing the needed infrastructure to serve new homes in the community, including a redundant well near the Sand Creek subdivision off Casey Road, as well as a new water treatment facility near Moody and Rice Road.
Also in play is the proposed development, Old Stone Ranch, a Planned Unit Development that would be located south of Casey Road and east of Pine, with the potential to add more than 600 houses, townhomes, and apartments to the community inventory.
The City of Fallon has also continued to make infrastructure improvements and permit changes that encourage the development of city lots. Recently a national developer, DH Horton bought 104 city lots just south of Coleman Road and has been completing homes there. The Fallon City Council also just approved 39 new homes in Country Air Estates.
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