North County and San Diego housing markets continue to see month-over drops in prices, longer market times and lower selling verses asking prices. But what we are no longer seeing is an increase in inventory.
The record low inventory which had been growing since the start of the year, has now started to decline again as homeowners with very low mortgage rates are reluctant to sell. With interest rates the highest they’ve been since 2008, many homeowners feel locked into those low mortgage rates. This could keep housing supply low for years. This isn’t good news for home buyers. Plus, Fannie Mae has revised their 2022 and 2023 projections on mortgage rates, bringing them up from 4.5% in 2023 to 5.6%.
So, if you’re a homebuyer, do you buy now or wait? That will depend your situation. If the market continues to soften, you might get a break on price, but mortgage rates could continue to increase as the Fed tries to get a handle on inflation. Higher interest rates have a stronger effect on buying power than prices do, so waiting might end up costing you.
North County and San Diego Housing Markets
Inventory dropped compared to last month with only 1.6 months in North County and 1.8 months in San Diego County as a whole. Market times did continue to grow though, and are now between three and four weeks. Homes are selling at 97.2 percent of list price in North County and 96.2 percent in San Diego County. This is much better than the 107 percent we saw in April, but is really just indicative of a market that’s moving toward balance. And, even with month-over prices dropping, the median, year-over price increased 8.0 percent in North County and 7.4 percent in San Diego County as a whole.
See below for this month’s statistics and daily interest rate updates.
Interest Rates
Market Updates
Click on the links below to read the San Diego real estate market reports.
- NORTH COUNTY MONTHLY INDICATORS
- METRO SAN DIEGO COUNTY MARKET UPDATE
- EAST SAN DIEGO COUNTY MARKET UPDATE
- SOUTH SAN DIEGO COUNTY MARKET UPDATE
- SAN DIEGO COUNTY MONTHLY INDICATORS
- 2021 SAN DIEGO COUNTY MARKET REPORT
North County Housing Summary
- The median price for all North County home sales increased 8.0 percent in August 2022 compared to August 2021.
- Detached homes saw a median price increase of 4.8 percent in North County, moving from $940,000 in August 2021 to $985,000 in August 2022.
- The number of sold units in North San Diego County decreased 32.1 percent compared to the previous August. Pending sales dropped 32.4 percent in the same period.
- Median days on market for North San Diego County properties was 23. This is an 64.3 percent increase from the previous August.
- Inventory supply in North San Diego County increased from 1.4 months in August 2021 to 1.8 months.
San Diego County Housing Summary
- The median price for all San Diego County home sales in August 2022 was $800,000. This is a 7.4 percent increase compared to August 2021.
- Detached homes saw a median price increase of 7.1 percent in San Diego County, moving from $850,000 in August 2021 to $910,000 in August 2022.
- Attached homes in San Diego County had a 12.6 percent median price increase compared to the previous year. They moved up to $625,000 in August 2022.
- Inventory supply countywide in August 2022 increased from 1.1 months a year earlier to 1.6 months.