Sacramento Real Estate Market Analysis

Sacramento is the capital city of the state of California. With nearly 510,000 residents, it is the 6th largest city in California and the 9th largest capital in the US. The Sacramento real estate market benefits from the fact that the population growth rate for the city is twice the national rate. And with about 54% of the population renting rather than owning their own home (according to NeighborhoodScout), Sacramento rental properties enjoy high demand and occupancy rates. 

Sacramento is a major economic and cultural center on the West Coast. The state and local government have a strong presence in the city, as it is the state capital, and they constitute the largest employment sector in the area. The city is home to the California State University, Sacramento and University of California, Davis, making it an important educational hub. Sacramento is also a major center for the California healthcare industry, as it houses a number of medical centers, including the world-renowned UC Davis Medical Center, the UC Davis School of Medicine, and Sutter Health. The city’s numerous research centers and well-educated workforce have drawn many technology-related companies to the area. 

One of the most historic cities in California, Sacramento is a notable tourist destination. More than 25 million people flock to the Sacramento region each year to visit its numerous museums and landmarks, including the California State Capitol Museum, the California Hall of Fame, the California State Railroad Museum, the Crocker Art Museum, and the Old Sacramento State Historic Park. Other industries contributing to the local economy include agriculture, energy, advanced manufacturing, transportation, business and financial services, and retail. 

The Sacramento real estate market was named as one of the most important US Markets to Watch by PWC in its annual Emerging Trends in Real Estate: United States and Canada 2019 report. According to the report, Sacramento is one of the most affordable markets in the Pacific region in terms of home prices. In fact, the city is seeing many companies and workers moving in from higher-cost areas. Investing in the Sacramento housing market is, therefore, a great option.