Sacramento Housing Market: Trends & Prices (2023)
Sacramento Real Estate Market Overview
(Last Updated – 7/2023)
Sacramento is most famous for being the capital of California, but this city has much more to it than just historic appeal.
For one, it has a lot of open space: An impressive 84% of residents are able to walk to a park within 10 minutes. So, while there are plenty of landmarks and historic spots to visit, you can also check out some of the 262 parks and playgrounds, lakes, fishing piers, golf courses, and other fun spots that take advantage of Sacramento’s 269 sunny days a year.
The latest census data shows that Sacramento’s population grew by over 13% since 2010 to 2022. But there’s a price to pay. According to the Council for Community and Economic Research’s 2022 Cost of Living Index, the cost of living in Sacramento is roughly 18.7% above the national average. A meaningful portion of that is due to housing, which runs over 42.6% above the national average.
Recommended: Cost of Living in California (2023)
Cost aside, Sacramento has a lot to offer for new graduates and career-focused individuals. Sacramento landed the 38th spot on a Wallethub list of best cities to start a career. The city is also seeing employment bounce back.
Overall Sacramento Market Trends
According to the real estate professionals at Redfin, Sacramento is one of the most competitive housing markets in the country.
Homes are selling quickly here in 2023. In the first half of the year, most homes were selling in around 10 days and hot homes, six days. Most homes in Sacramento receive multiple offers and sell for around 1% above list price.
$490,000
Median Sale Price
$329
Avg. Price Per Square Ft.
10 days
Avg. Time on Market
Sacramento Housing Market Forecast
The Sacramento real estate market is steady, with increasing demand at a modest rate. While the median house price went down by 7.5% in May 2023 compared to last year, experts forecast that prices will increase, given the competitiveness of the market.
A big reason for Sacramento’s popularity is because it remains cheaper than neighbors like San Francisco and San Jose. On top of that, with its healthy population growth, real estate experts predict increasing buyer demand. While the City of Trees may not be California’s hottest housing market, it is safer overall.
Demographics of the Sacramento Market
While each neighborhood in Sacramento has its own unique demographics, attractions, and market temperature, it’s worth checking out the Sacramento market as a whole before diving deeper into each neighborhood.
Median Income: $71,074
Median Age: 35.2
College Educated: 35.1%
Homeowners: 50.1%
Married: 43.6%
Popular Sacramento Neighborhoods
There are dozens upon dozens of neighborhoods to choose from among the great expanse of Sacramento.
Over half a million people call Sacramento home, and the Sacramento County area has over 32,000 businesses.
Here are fast facts about five of Sacramento’s popular neighborhoods if you’re thinking about putting down roots here.
Midtown
From farmers markets to art to a bustling restaurant and festival scene, Midtown has it all. This neighborhood is perfect for families, is full of tree-lined streets, and is very bike-friendly.
The median housing costs each month are roughly $1,390, and there are 2,519 housing units in this neighborhood.
Quick Facts
Population:
4,135
Median Age:
33
Housing Units:
2,519
Bike Score:
99/100
Walk Score:
94/100
Transit Score:
53/100
Average Household Income:
$94,933
Midtown Housing Market
Housing prices rose significantly in May 2023 compared to last year in Midtown (up 13.8%). A somewhat competitive housing market, some homes in the area receive multiple offers and most go pending in around 39 days. Hot homes go pending in only 11 days.
Median Sale Price
$808,000
Average Price Per Square Ft.
$565
Tahoe Park
Locals and food critics alike swear up and down that stopping by Bacon & Butter in the Tahoe Park neighborhood for brunch is a must, especially if you love cinnamon buns.
If you want to walk off a heavy meal, the obvious appeal of living in Tahoe Park is the access to, well, Tahoe Park. The park has basketball, volleyball, softball, and soccer courts and fields, as well as a pool and play areas to enjoy.
Quick Facts
Population:
4,299
Median Age:
35
Housing Units:
1,795
Bike Score:
73/100
Walk Score:
58/100
Transit Score:
37/100
Average Household Income:
$71,984
Tahoe Park Housing Market
If you want to buy a home in Tahoe Park, be prepared to face some steep competition. In a very competitive housing market, Tahoe Park homes often receive multiple offers, sell in seven days, and sell for about 2% above list price.
Really in-demand homes can sell in around six days and sell for around 5% above list price.
Median Sale Price
$515,000
Average Price Per Square Ft.
$429
Land Park
If you have your heart set on a historic home, then check out some of Land Park’s beautiful options from the 1930s and ’50s.
Close proximity to William Land Park and the Sacramento Zoo makes this neighborhood a family favorite. Children will love Fairytale Town, a storybook-themed park.
Quick Facts
Population:
9,141
Median Age:
39
Housing Units:
4,248
Bike Score:
89/100
Walk Score:
63/100
Transit Score:
43/100
Average Household Income:
$117,826
Land Park Housing Market
In Land Park’s very competitive housing market, it isn’t unusual for homes to get multiple offers and to go pending in around 12 days. Popular homes can go pending in just around six days.
In May 2023, housing prices dipped in this area by only about 0.66% compared to last year..
Median Sale Price
$795,000
Average Price Per Square Ft.
$547
Natomas
Close proximity to two major freeways and the Sacramento International Airport gives Natomas residents plenty of travel options.
And with more than 2.8 million square feet dedicated to retail, there are plenty of shopping and employment opportunities.
There are also some large office parks and educational facilities that can help residents reach their goals. It sounds like go-getters will feel right at home in Natomas.
Quick Facts
Population:
33,102
Median Age:
33.2
Housing Units:
12,040
Bike Score:
63/100
Walk Score:
45/100
Transit Score:
28/100
Average Household Income:
$102,162
Natomas Housing Market
The Natomas housing market is somewhat competitive. The average sale price of homes in this neighborhood dropped by 22.9% in May 2023 compared to last year.
You won’t need to act very fast if you find a home you love in this area, as homes typically sell for about 1% below list price and go pending in around 35 days.
Median Sale Price
$420,000
Average Price Per Square Ft.
$236
Elk Grove
From simple starter homes to sprawling ranch estates, Elk Grove has it all. This family-friendly neighborhood is home to more than 175,500 residents and has about 55,500 households.
An award-winning school district, world-class restaurants, and a bustling international airport lend further appeal.
Quick Facts
Population:
175,510
Median Age:
38.1
Housing Units:
55,504
Bike Score:
45/100
Walk Score:
32/100
Transit Score:
N/A
Average Household Income:
$123,151
Elk Grove Housing Market
Get ready to roll up your sleeves and get to work if you want to find the perfect home in Elk Grove. The market is considered to be very competitive. Most homes receive multiple offers and sell around 1% above list price in 11 or so days.
In-demand homes can go pending in around just six days for 3% above list price.
Median Sale Price
$641,000
Average Price Per Square Ft.
$308
SoFi Home Loans
It’s easy to see why Sacramento has become such a popular market to buy a home in. There are some really amazing neighborhoods to choose from whether you’re young and single or have a family to look after.
If you think Sacramento could be your home sweet home, then you may need to consider different mortgage loans during your home buying process.
If you’re buying a home or refinancing an existing mortgage, SoFi can help you make the process as quick and painless as possible.
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