HOUSING INSANITY RETURNS!!!! With the number of available homes to purchase at extremely low levels, there simply are too many buyers competing against each other despite higher mortgage rates. Buyers entering the market today are blown away at just how fast homes that are in good condition and priced according to their Fair Market Values are flying off the market with multiple offers being received. In some cases, we are back to inspection and appraisal contingencies once again being waived like they were when mortgage rates were at or below 3%.
There is nothing available for ready and able buyers to purchase right now. Anything that does hit the market is inundated with showings and plenty of offers as long as the home is in reasonable shape and the seller is not stretching the asking price. With fewer sellers coming to market, spring demand is eating into the low supply of available homes, preventing the inventory from rising. Do not expect the inventory to grow much during the Spring Market, now through the end of May. Typically, the inventory slowly grows from January through March and then picks up steam during the spring.
This year, the inventory has dropped from 2,898 in January to 2,136 as of early May. In short.....housing insanity has returned to San Diego county and it is not expected to change anytime soon. According to CRMLS data.....total closed sales in San Diego County (single family homes, condos and townhomes) from January 2022 thru end of April 2022 was 10,676 compared to the same time period this year 2023 which amounted to 7,044. This amounts to a 34% decrease in total transaction sales all attributed to lack of homes available for sale in 2023.
A good example of the luxury market conditions can be found in Toll Brothers new development in Del Mar Mesa. Toll Brothers has 25 vacant lots (dirt) of which almost 80% are already pre-sold with a strong priority list of at least 10 buyers waiting to purchase the remaining 6 lots. These remaining lots are expected to be sold out by mid/end June 2023 according to the development team. These homes range in size from 4,700 SF to 6,000 SF and are priced from $4M to almost $5M with expected completion by mid to late 2024.
Today's market is both very interesting for Sellers and Buyers but don't let the macro real estate news influence you too much.........call or email me to discuss what is actually taking place in the local San Diego housing market.
There is nothing available for ready and able buyers to purchase right now. Anything that does hit the market is inundated with showings and plenty of offers as long as the home is in reasonable shape and the seller is not stretching the asking price. With fewer sellers coming to market, spring demand is eating into the low supply of available homes, preventing the inventory from rising. Do not expect the inventory to grow much during the Spring Market, now through the end of May. Typically, the inventory slowly grows from January through March and then picks up steam during the spring.
This year, the inventory has dropped from 2,898 in January to 2,136 as of early May. In short.....housing insanity has returned to San Diego county and it is not expected to change anytime soon. According to CRMLS data.....total closed sales in San Diego County (single family homes, condos and townhomes) from January 2022 thru end of April 2022 was 10,676 compared to the same time period this year 2023 which amounted to 7,044. This amounts to a 34% decrease in total transaction sales all attributed to lack of homes available for sale in 2023.
A good example of the luxury market conditions can be found in Toll Brothers new development in Del Mar Mesa. Toll Brothers has 25 vacant lots (dirt) of which almost 80% are already pre-sold with a strong priority list of at least 10 buyers waiting to purchase the remaining 6 lots. These remaining lots are expected to be sold out by mid/end June 2023 according to the development team. These homes range in size from 4,700 SF to 6,000 SF and are priced from $4M to almost $5M with expected completion by mid to late 2024.
Today's market is both very interesting for Sellers and Buyers but don't let the macro real estate news influence you too much.........call or email me to discuss what is actually taking place in the local San Diego housing market.
Ben Anderson
License DRE# 01369906
Broker DRE# 01767484
1111 Prospect Street, Suite 100, La Jolla, California 92037
Get Directions
858.239.2400
Send Me a Message
1111 Prospect Street, Suite 100, La Jolla, California 92037
This information is deemed reliable but not guaranteed. You should rely on this information only to decide whether or not to further investigate a particular property. Before making any other decision, you should personally investigate the facts (e.g. square footage and lot size) with the assistance of an appropriate professional. You may use this information only to identify properties you may be interested in investigating further. All uses except for personal, non-commercial use in accordance with the foregoing purpose are prohibited. Redistribution or copying of this information, any photographs or video tours is strictly prohibited. This information is derived from the internet data exchange (IDX) service provided by Sandicor®. Displayed property listings may be held by a brokerage firm other than the broker and/or agent responsible for this display. The information and any photographs and video tours and the compilation from which they are derived is protected by copyright. Compilation © 2017 Sandicor®, Inc.
© 2023 Ben Anderson - All rights Reserved.
Powered by:
