Folsom home sales among strongest in the Sacramento region. An expert explains why

The city of Folsom is one of the top-selling submarkets for homebuyers in the Sacramento region.

In April, the city reported the third-most home sales among Sacramento County communities at 61, according to North State Building Industry Association. Elk Grove came in second place with 63, and Roseville topped the list by far with 172.

Folsom came in second in March with 110 home sales. Roseville still dominated the market with 191 home sales. Third place was Lincoln with 66.

“Folsom’s population has been growing, and Folsom Ranch south of Highway 50 especially is starting to take shape,” said Ryan Lundquist, a Sacramento real estate appraiser and author of the Sacramento Appraisal Blog. “The city has been an attractive destination for many move-up buyers, and even Bay Area transplants.”

Sales were up 26% from April 2022 and down 10% from March, according to the BIA.

New construction in West Roseville may have something to do with the Placer County city’s success, according to Lundquist.

“Roseville has outpaced mostly every area as it consistently has 20% or more of all newly constructed sales,” Lundquist said. “More than anything, this speaks to West Roseville being built out.”

He said that since 2020, more people have moved to Placer County.

“Stepping back, Placer County has had more inbound migration over the past couple of years,” he said. “The population increased by nearly 12,000 residents ... in contrast, Sacramento County lost about 2,100 residents.”

John Frith, a spokesperson for the BIA, said its sales figures encompass 189 home communities in Sacramento, Placer, El Dorado, Yolo, Yuba, Sutter, Amador and Nevada counties.

April’s sales were reported mostly in the $500,000 to $650,000 price range, and Sacramento County communities saw the most sales compared to Placer County communities for the second month in a row, according to Frith.

“When driving on Highway 50, even casual observers can notice new construction happening in Folsom,” Lundquist said. “There is a whole southern portion of the city that is beginning to take shape.”

This story was originally published May 12, 2023 at 9:35 AM.