The Fed hiked interest rates by .25 percent this week and expect continued increases in 2017. With rising interest rates and prices already putting pressure on affordability, what’s in store for the future? Here are predictions from eight real estate experts.
Category Archives: Market Statistics
November 2016 San Diego County Real Estate Report and Interest Rates
Now that the election is finally over, what will Trump’s presidency mean to San Diego County real estate? No one really knows, but The San Diego Union-Tribune published an interesting article today citing higher mortgage interest rates and possible regulation cuts.
October 2016 San Diego County Real Estate Report and Interest Rates
Prices in San Diego County and in North County did not change compared to the previous month, but did go up substantially over the last year. Inventory, which should be growing this time of year, is continuing to decrease.
September 2016 San Diego County Real Estate Report and Interest Rates
Countywide, August saw an upturn in pending and closed sales over the previous month. There was no change in the median sales price compared to July, but a 7.4 percent increase over the previous year. Inventory is staying tight with a scant 2.3 months’ supply of housing on the market.
August 2016 San Diego County Real Estate Report and Interest Rates
The market slowed down in July with fewer pending and closed sales compared to June. But because there were also fewer new listings, inventory stayed at a very low 2.4 months’ supply countywide.
Real Estate Report
This low inventory continues to keep pressure on home prices in San Diego and North San Diego County. A lack of resale homes, rising prices and a dearth of middle- and low- income building is causing a housing crisis for both buyers and renters. It is hitting the middle class especially hard.
KPBS™ interviewed Matt Adams, vice president of San Diego’s Building Industry Association. He says new housing is creating an “hourglass” market by building more homes for people at the top and bottom of the economic ladder, but few for people in the middle.
Interest Rates
Market Updates
Click on the links below to read the full housing statistics reports.
Continue reading August 2016 San Diego County Real Estate Report and Interest Rates
July 2016 San Diego County Real Estate Report and Interest Rates
Prices continue to rise throughout San Diego County and we are approaching the 2005 pre-recession median home price peak of $517,500. In fact, multiple zip codes throughout the county have met or exceeded their pre-recession peaks with many of those zip codes located in the North County Coastal area.
Real Estate Report
This is great news for those who are building equity, hard on those trying to enter the market, and scary for those who got hurt during the recession. But what do those numbers really mean? Housing affordability in San Diego County has dropped significantly since 2012, but even with significant price increases, it hasn’t changed much since 2014. This is because those price increases have not been adjusted for inflation, or changing incomes and interest rates. First American’s Economic Center has taken these factors into account in a recent report titled, First American Real House Price Index (RHPI).
The index set the RHPI at 100 in January 2000 and then compares those values to today’s numbers adjusting for income and interest rates. San Diego’s Real Price Index in April 2016 was 84.1. Recent events, like “Brexit,” have helped push down interest rates, increasing buying power even more. I’ll have our updated RHPI in next month’s San Diego County Real Estate Report.
Interest Rates
Click on the links below to read the full housing statistics reports.
Continue reading July 2016 San Diego County Real Estate Report and Interest RatesJune 2016 San Diego County Real Estate Report and Interest Rates
San Diego County jumped up to eighth position in realtor.com’s® 20 Hottest Real Estate Markets. That’s our best ranking in May since Realtor.com started comparing markets three years ago.
Real Estate Report
May’s market statistics certainly support that hot ranking. Countywide, the median sales price increased 7.9 percent compared to the previous May and the supply of available inventory fell to a meager 2.1 months.
This is wonderful for San Diego County home sellers, but rising prices are making it difficult for buyers. The California Association of Realtors reports that only 28 percent of households could afford the median priced home in the first quarter of 2016. With home prices continuing to rise, that number will most likely drop even lower.
See below for today’s interest rates.
Click on the links to read the full housing statistics reports.
Continue reading June 2016 San Diego County Real Estate Report and Interest RatesMay 2016 San Diego County Real Estate Report and Interest Rates
It’s a great time to sell, and may be your last chance to buy. San Diego County home prices continue to rise; inventory keeps dropping, and interest rates are near historic lows.
With increasing prices, low inventory and short market times, the second quarter of 2016 looks very promising for San Diego County home sellers. But those rising prices are pushing buyers out of the market. If interest rates increase, this will squeeze many buyers out of an already tight market.
Real Estate Report
Here’s the three minute skinny for North County’s first quarter report with a forecast of what the second quarter will bring.
See below for today’s interest rates.
Click on the links to read the full housing statistics reports.
Continue reading May 2016 San Diego County Real Estate Report and Interest RatesApril 2016 San Diego County Real Estate Report and Interest Rates
San Diego County home prices continue to recover, but still have not reached their 2005 peaks according to CoreLogic and reported in the Union-Tribune.
Real Estate Report
March brought more listing and sales activity compared to February, but the continued low inventory and rising prices are keeping the total number of sales low for what is normally a busy time of year.
San Diego County saw a year-over median price increase of 6 percent with prices reaching $485,000. In North County the median price was $537,000 with a year-over increase of 4.1 percent
See below for today’s interest rates. Click on the links to read the full housing statistics reports.
Continue reading April 2016 San Diego County Real Estate Report and Interest RatesMarch 2016 San Diego County Real Estate Report and Interest Rates
Although North County saw a drop in the median sales price compared to January, and San Diego County as a whole was mostly flat, the San Diego County real estate market continued moving upward with healthy year-over price increases.
Real Estate Report
As is typical this time of year, there were more new listings on the market in February, but the number of homes going under contract, or pending, also increased. This is keeping the inventory hovering at a painfully low two months’ supply. Most experts expect to see six months’ supply in a healthy market.
The continuing low interest rates, low resale inventory, and lack of new homes being built in San Diego County has created a housing shortage. This lack of available housing is keeping upward pressure on home prices and rents. We’ve seen an increase in the number of homes being built in the county, 25 new projects this year according to the Union-Tribune. It’s still not enough to meet demand, and many of those homes are in a price range that most buyers can’t afford.
See below for today’s interest rates. Click on the links to read the full housing statistics reports.
Continue reading March 2016 San Diego County Real Estate Report and Interest Rates