Local experts claim that the housing market tends to warm up and see more activity after the Super Bowl and as spring rounds the corner, but not this fast!
In fact, Steven Thomas of Altera Real Estate claims in his latest biweekly report that this is the strongest demand has looked in Orange County’s real estate market since 2005.
| Topic |
DP |
LB |
SC |
Talega |
SJC |
| Listed |
234 |
300 |
343 |
61 |
134 |
| Pending |
47 |
34 |
106 |
32 |
61 |
| Market time |
4.98 |
8.82 |
3.24 |
1.91 |
2.2 |
| 2 wks. Ago |
5.82 |
13 |
4.07 |
2.74 |
3.1 |
| 4 wks. Ago |
5.16 |
14.29 |
3.65 |
1.88 |
3.38 |
| 1 yr. ago |
9.82 |
22.27 |
7.56 |
5.53 |
5.67 |
| 2 yrs. Ago |
15.68 |
10.58 |
8.21 |
6.09 |
17.24 |
| Avg. price |
$1.8 M |
$3.8 M |
$1.1 M |
$879K |
$1.6 M |
And, the numbers are looking pretty good in our south coast cities - all of them shaved time off the expected sales pace to sell homes in each city.
Two weeks ago, it would have taken an expected 5.82 month’s to sell off Dana Point’s active home stock, which has sped up to 4.98 months.
Laguna Beach followed suit by speeding up to a 8.82-month sales pace, quicker than 13 months (reported two weeks ago).
San Clemente also enjoyed an improvement in sales pace. Two weeks ago it would have taken an expected 4.07 months to sell homes in this city, which is now 3.24 months.
Talega by itself (excluding the rest of San Clemente) sped up to 1.91 months (it would have taken 2.74 months two weeks ago).
And San Juan Capistrano also saw a swifter market time - it sped up to 2.2 months from 3.1 months two weeks ago (Why are we including San Juan?).
Countywide, the trend was the same. Two weeks ago it would have taken an expected 3.02 months to sell O.C.’s home stock, which improved to 2.42 months.
Thomas said the following about market time countywide:
“There is a lot of confusion about the housing market because there are really three markets: less than $750,000, $750,000 to $1.5 million, and $1.5 million plus. For all homes less than $750,000, the market is ON FIRE with multiple offers and sales prices above the list prices. When the expected market time drops below two months, the market is crazy with a lot of competition. The $750,000 to $1.5 million range is getting hotter and many are experiencing multiple offers. There are more jumbo loan products available with much more attractive rates. For homes above $1.5 million, the market is as cold as ice, the higher the range, the colder the market.”
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