Real estate brokers are noticing a shift in the San Diego real estate market. Many areas of the county have fewer homes for sale than in previous months. Professionals call this "inventory restriction," and it is having a noticeable effect the Carlsbad market.
An increase in the number of home buyer showings per available home. Average time to sell in the current market for non-short sale property has dropped by 33 percent to 60 days average market time. Brokers are finding multiple offers more common on their desirable listings, with the seller achieving near 99 percent of their asking price.
Although it is much too early to call this the end to a long and brutal down real estate market, any signs of vitality has to be embraced by homeowners looking to make a move up, relocate or downsize their current obligation.
As famous real estate billionaire Sam Zell will remind those who ask about the nation's real estate market: "Real estate is all supply and demand."
In the $900,000-and-under single-family residential home market in Carlsbad, supply is, for the time being, tight.
Inventory levels for non-distressed properties are between 3.5 months and 4.5 months of available homes. This is a low level. This has helped to reduce market time and helped owners secure much of their asking prices. Several dynamics have helped reduce inventory in early 2012.
Seasonally, the winter real estate market (October to December) often has fewer listed for-sale. December and January saw steady buying activity thanks to corporate relocation, low mortgage rates and reduced winter prices.
This bulk of the home buying activity is of homes priced under $900,000, with the average Carlsbad home sold between November and January at $600,000.
This area of the market is seeing strong demand and readily-available financing. Carlsbad homes priced above $1 million are considered within the luxury home market, and the luxury market remains at standstill. In the past 90 days, only two homes have sold above $1 million, with two under contract. This leaves almost 30 months of unsold property in Carlsbad.
Home buyers in today's real estate market should be excited at the opportunity to purchase a home at record high levels of affordability. The Housing Affordability Index (California Association of Realtors) ranks the current San Diego market a 42, a number that hasn't been seen in San Diego since 1994 and 1998 (both historically considered excellent times to buy real estate).
To give perspective, during the height of the market in 2005, San Diego got as low as an eight in the index. Carlsbad will see more homes come on the market in the coming months. Buyers should take the opportunity to personally view homes (less window shopping via the Internet) and get a feel for the area and neighborhood in which they will want to live.
Reach Lund at [email protected]
An increase in the number of home buyer showings per available home. Average time to sell in the current market for non-short sale property has dropped by 33 percent to 60 days average market time. Brokers are finding multiple offers more common on their desirable listings, with the seller achieving near 99 percent of their asking price.
Although it is much too early to call this the end to a long and brutal down real estate market, any signs of vitality has to be embraced by homeowners looking to make a move up, relocate or downsize their current obligation.
As famous real estate billionaire Sam Zell will remind those who ask about the nation's real estate market: "Real estate is all supply and demand."
In the $900,000-and-under single-family residential home market in Carlsbad, supply is, for the time being, tight.
Inventory levels for non-distressed properties are between 3.5 months and 4.5 months of available homes. This is a low level. This has helped to reduce market time and helped owners secure much of their asking prices. Several dynamics have helped reduce inventory in early 2012.
Seasonally, the winter real estate market (October to December) often has fewer listed for-sale. December and January saw steady buying activity thanks to corporate relocation, low mortgage rates and reduced winter prices.
This bulk of the home buying activity is of homes priced under $900,000, with the average Carlsbad home sold between November and January at $600,000.
This area of the market is seeing strong demand and readily-available financing. Carlsbad homes priced above $1 million are considered within the luxury home market, and the luxury market remains at standstill. In the past 90 days, only two homes have sold above $1 million, with two under contract. This leaves almost 30 months of unsold property in Carlsbad.
Home buyers in today's real estate market should be excited at the opportunity to purchase a home at record high levels of affordability. The Housing Affordability Index (California Association of Realtors) ranks the current San Diego market a 42, a number that hasn't been seen in San Diego since 1994 and 1998 (both historically considered excellent times to buy real estate).
To give perspective, during the height of the market in 2005, San Diego got as low as an eight in the index. Carlsbad will see more homes come on the market in the coming months. Buyers should take the opportunity to personally view homes (less window shopping via the Internet) and get a feel for the area and neighborhood in which they will want to live.
Reach Lund at [email protected]