Ever Wonder How San Diego's Real Estate Market is "REALLY" Doing?
Which direction is the real estate market REALLY going?
As a REALTOR with Prudential California Realty I’m asked this question more than I can count because I’m involved in San Diego Real Estate. I, like the public at large, have to really read carefully into what the media publishes, says and presents. San Diego real estate is a hot topic of conversation at most places I go and I think it will continue to be for some time to come.
I was reading an article that states that home sales are down compared to last year. As I read along I got to see why the public can be confused by such statements. If you just read the article’s headline you’d only be half right. After reading the entire article and clicking on some of the cities used to compile the data for this specific article I was able to decipher the most important thing all of us in San Diego really care about and that is our local market.
According to a major statistic gathering firm they’re correct in their overall figures. In San Diego though we did see a decline in the volume of homes sold. Compared to last year at this time we did see a drop around 20%. What the data also showed, but mentioned in a low voice, is that the price of the homes that were sold increased by 5.6%. So is this good or bad or neutral?
Well I can tell you this from in-the-field experience, the drop in home sales is more than likely due to a low inventory. I’ve worked with some buyers that I have a challenging time finding properties that match their criteria. This applies to buyers in all levels of price points. I examine data concerning inventory in the county and I have witnessed the drop in homes on the market. Makes me wonder where that supposed wave of foreclosure that was supposed to start in early 09′ went?
Now, as far as the price of homes that did sell, increasing stats support the fact that there are less homes on the market which in turn is providing sellers with multiple offers on their property. Mind you, this is taking into consideration that the property is priced well enough to begin with so as to attract multiple buyers who in turn would most likely compete for the property.
These pieces of data are a prime example of the law of supply and demand. Having said all of this I ask you, do you still think San Diego is experiencing a buyer’s market given the data presented? My professional opinion is that San Diego’s real estate market is at the ideal time for buying. Are you up to take advantage of it?
