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Wine Country Real Estate Update Summer 2023

Happy August!  A cooler than average growing season after major winter rains has been a welcome pattern this summer.  I hope you have been soaking it up.  On the real estate front the market has several competing variables creating an interesting dynamic to say the least.  It is time for the wine country real estate update.  On the one hand, we are challenged with the highest interest rates in decades which is dampening demand as it limits purchasing power.  We are also challenged with low inventory, as would-be sellers are not ready to let go of very favorable rates that they locked in years ago. On the other hand, we have an economy that appears to be over performing combined with decreasing inflation.  As a result, we see some properties sell quickly while others linger, price drop after price drop.   Whether it is a vineyard, winery, vineyard estate or residential home the time-tested rules still apply; properties that are priced well, in turn-key condition and in good locations attract buyers.

Sold Grand Reserve Inn Wilderotter Winery and Tasting Room

Quality, Condition and Location

Quality, condition and location are the foundation of a buyers perspective of value, of course, price and insurability also have an impact.  Another factor that is unique to wine country is the business condition of the wine industry.  When wine sales are booming, grape prices follow, as do land values.  Typically, when the wine industry is in a slump, grape prices and land values are impacted.  Unless you are located in super premium areas like Napa Valley growing high quality Cabernet Sauvignon that is still in demand.  Other premium quality appellations in Sonoma County, such as the Russian River and Alexander Valley AVAs should also continue to demand a premium.

Where are we now?

With wine sales lagging and a stagnant bulk market, wineries and growers are anticipating their next move.  This year’s harvest looks to be at least average which could result in a surplus of wine grapes and bulk juice.  This may put pressure on grape prices and encourage some vineyard and winery owners to consider selling.  The changing dynamics of the market present an opening for those looking to get into the business, starting a new brand, having access to quality juice, vineyards, wineries and a place to call home.  It never hurts to start with a premium product and begin enjoying the wine country lifestyle.

Staying Ahead of the Curve

Enterprising buyers continue to be driven by passion and opportunity even in challenging markets.  They will continue to seek out quality assets in Napa and Sonoma or look for value in a place like the Sierra Foothills, known for producing high quality fruit in a great setting that provides a nice lifestyle at a fraction of the price.

Industry veterans also continue to plan for the future. Numerous blue chip quality vineyards, wineries and vineyard estates have traded over the last year.  This trend will continue because quality land and locations are finite.  Due to the limited supply of super premium assets, certain buyers are always looking for the next move in order to stay ahead of the competition.   Below is a continuing list of major transactions throughout the year.

Wine Country Real Estate Update

If the economy continues to improve, expect to see forward- thinking buyers take a swing at opportunities for the next leg up.  If your thinking of a purchase and would like to contact a lender, click here.

Any way you look at it, a good formula for success in wine country is to have a long-term strategy combined with appreciation of the stunning beauty and quality of life that surrounds us every day.  If you would like to discuss your property or are interested in a confidential Broker Opinion of Value, please reach out.

Curious about Past Wine Country Real Estate Updates

Wine Country Update – Late Fall / Early Winter 2015

Sonoma and Napa Real Estate Values 2019

Sold Bray Vineyards and Winery

Download PDF Version Here

Some additional articles that might be helpful:

What is a vineyard really worth?  It depends.

Wine Country Real Estate Building Blocks

Looking to Buy A Winery, Start Here

So where exactly is wine country?

Buying a Vineyard?  A short course to the basics.

Which AVA came first?

If you are serious about your wine country search, please contact us today.  Last but least, here is link to more local resources.

Wine Country Real Estate Market in 2024

We are looking at a bifurcated wine country real estate market in 2024.  A stronger economy along with improving interest rates generally bodes well for real estate.  In contrast, the wine industry is struggling.... Read more

Wine Country Real Estate Update Summer 2023

Happy August!  A cooler than average growing season after major winter rains has been a welcome pattern this summer.  I hope you have been soaking it up.  On the real estate front the market has several competing variables creating an interesting dynamic to say the least.  It is time for the wine country real estate […]... Read more

Buying A Vineyard

Before You Take The Plunge In Buying A Vineyard - Ask yourself: why am I buying a vineyard? This may seem like an obvious question but the answer could lead you in numerous directions not yet considered. What’s the driver? Are you looking for lifestyle? Are you looking to create the next super premium Cabernet, Pinot Noir or Chardonnay? Are you going to be hands off or do you want to be out in field getting dirt under your nails? Let's take a quick look at some things you should consider.... Read more

Green Shoots in 2023, and Which AVA Came First?

Winter 2023 First things first, Happy 2023!  Another year to enjoy this beautiful area we call home.  With more than two decades of selling wine country real estate, I am still in awe of our backyard.  The dynamic landscape is a constant reminder of the amazing diversity throughout Sonoma and Napa Counties, from the Pacific […]... Read more

Napa and Sonoma Real Estate 2022

The Dream Lives on in Napa / Sonoma and Further Afield –  Real Estate Another exciting year is underway as we approach Spring.  Let’s take a look at Napa and Sonoma Real Estate 2022.  With pruning behind us, we anticipate bud break in the coming months. The cycle continues. Before going any further, I have […]... Read more

Sonoma and Napa Winter 2021

Light on the Horizon Dust Settles During the Sonoma and Napa Winter 2021 If there is one thing we have learned over the last several years, it is that wine country is resilient.  Wildfires, economic uncertainty, politics and a worldwide pandemic have all conspired to shake our core, especially in 2020.  But here we are, […]... Read more

Moving Forward – Sonoma and Napa Real Estate 2020

Clearly, we are enduring an unprecedented challenge with Covid-19 health issues and associated economic impact.    As a community I am sure we will ultimately arrive at a   destination that resembles the wine country that we all know and love.... Read more

Opportunities and Challenges in Napa and Sonoma

No doubt, the last few years have been good in wine country with increasing wine grape and real estate prices. While things are still good in wine country, there have been some changes in the market over the last six months.... Read more

Buyers Compete In Sellers Market, Spring 2017

So what are the current real estate values in wine country? The latest information shows continued price increases across the board. Even the median home price in Sonoma County has doubled in the last five years.... Read more

Wine Country Real Estate and Wine Industry News

It goes without saying that the vineyard, wine grape and wine industry has an impact on real estate in Napa Valley, Sonoma County and all other wine regions.  Be sure to check back often to read current and past wine country real estate and wine industry news.  Sourced from industry experts to keep you informed.... Read more

At Home In Sonoma County

Russian River Valley For the last quarter century, I have had the pleasure of calling Sonoma County’s Russian River Valley home.  During that time, I have witnessed the region go from an “under dog” reputation to world-class status.  Russian River Valley Pinot Noir and Chardonnay vineyards are some of the most sought after in California […]... Read more

Notable Vineyard and Winery Sales 2024

Throughout the year you can check back here to see any notable publicized vineyard and winery sales in 2024.  The various sales and transactions are not only interesting but may also point to trends that can impact real estate in Napa, Sonoma and other wine country regions. This page will be updated throughout the year […]... Read more

Napa Valley and Sonoma County Wine Grape Prices 2024

Based on the grape crush report it would appear Napa Valley and Sonoma County wine grape prices continue their upward climb as we enter 2024. The one exception is Sonoma County Cabernet which noted a very modest drop from the previous year.... Read more

Buying a home, vineyard or winery in Sonoma or Napa & Video

Are you considering a move to wine country?  Does the image of rolling hills, rows of vineyards in a bucolic setting come to mind?  If so, purchasing a home, vineyard, or winery real estate may be your next step.  Buying and selling wine country real estate isn't always black and white.... Read more

Wine Country Resources

When moving to wine country, or even after living the area for decades, there will be a time when you need some expert help and wine country resources.  Here are links to various experts in Sonoma and Napa Counties. Wine Country Experts – Sonoma and Napa Architects Designers Lenders Legal Advisors Appraisers CPA / Financial […]... Read more