If I were a home seller in Folsom, I would be pretty thrilled right about now. Although falling home prices are nothing to be happy about unless you’re a home buyer, Folsom-dwellers should be glad their homes are retaining their value and – as compared to the rest of Sacramento county – are relatively stable in prices.

Average sales price in Folsom is now at $425,514, down 10.7% from September 2007. While this might seem like a large drop, one has only to look at Elk Grove, for example, to see how much better Folsom is really doing. Sold price per square foot is now $190.68 – down 12.1% from last September’s $217.05

Part of the reason Folsom has maintained its value is the relatively low number of foreclosures. The majority of homes sold are still non-distressed. However, the number of foreclosures has gone up pretty significantly this September: last September only 2 foreclosed homes sold. This year? 20. Last September 90% of sales were non-distressed. This year, while still the majority as mentioned earlier, non-distressed home sales make up 51.9% of the total sales pie.

Still, Folsom gives the rest of Sacramento county some hope. The drop in sales price is gradual enough that the more observant ones amongst us (that would be perhaps the people not directly involved in the market – hmmm – anyone? Hellooo?) can see how foreclosures are inversely related to price appreciation and can predict that when the foreclosure inventory gets absorbed by the real estate market, we will, very possibly see prices head up again.