We were asked to write article about Hillcrest, Mission Hills housing market by Hillcrest News. Our article was featured in December issue.
This article was written by Mark Kunce and Preston Webb. Unfortunately there are no onlie version yet, so here is the article.
New Year, New Move, New You!
With the New Year just around the corner, the coming weeks are a great time to start considering what kinds of changes, both big and small, we would like to see happen in our lives. It’s a great time to really and truly evaluate where we’re currently at in our own life; where we would like to get to; how we can get there; and finally what the end result will actually look like for us in the long run. Some of these changes are as small as hitting the snooze button on our alarm one less time every morning (which actually isn’t as small or easy as one might think). Other changes, however, can be so big that they will instantaneously impact the course of not only our own lives, but also the ones we love, for many years to come.
One such change that many are considering during this time is, “Am I finally ready to make that move that I’ve been thinking about for all this time, or am I better off just staying in the home I’m currently in?”. Now when it comes to making such a big decision, the research and planning process will probably take a little bit more work than the average New Year’s resolution. However, if you start by taking the time to evaluate the real estate market and really consider what your life would look like if you were to make such a move, it will definitely make the process much easier!
To start with, in the local 92103 area, inventory in the month of November is down by 30.3 percent for detached single-family homes, and down 36.4 percent for attached residences such as condos and townhomes. The Median home sale price for detached homes in the area has dropped by 14.3 percent to $818,750, and by 4.4 percent for attached homes to $458,000.The pace of sales for detached homes has increased by a rate of 36.2 percent, whereas the average days on market for attached homes has actually doubled. However, this is a transitory period in the market which is very common for this time of year and can definitely influence a decline in certain market metrics. But not to fear, experts predict that 2016 will be a stable year both locally and nationally in the real estate market.
So what does that mean? Well if you’re hoping to buy a home this year and be able to turn around and sell it for twice the amount that you paid for it in 2017, you might be out of luck. However, if you’re happy with gaining steady appreciation throughout the year on a home you plan on living in for the next few years, now could be a great time to make the move!
Nationally, according to Corelogic, home prices including on distressed sales, are projected to rise by 4.3 percent from August of 2015 to August of 2016. Also, with the new interest rate increases that have been announced experts say to expect to see a 30 year fixed rate mortgage at an interest rate of about 4.6 percent by the end of 2016.
Here in California, the California Association of Realtor’s 2016 California Housing Market Forecast predicts that the median home sale price is set to increase by 3.2 percent to $491,300 in 2016. Locally in 92103, Zillow predicts that the median home value will rise by about 2.3 percent this year. Along with this steady appreciation in the market, we will most likely also be seeing a steady stream of buyers in the market. Realtor.com recently ranked San Diego as the 6th hottest housing market in the U.S for home buying millennials!
All that being said, nobody can say without a shadow of a doubt just what will happen in the housing market over the next year. However, consulting with a professional that spends every day of the week reading about and following up on all the current housing trends is a great way to help protect yourself when making a move. If you’re interested in finding out more about the local real estate market and how to best invest in your future, there is a free monthly class held in Hillcrest called “The Millionaire Real Estate Investor Workshop”. The workshop is based on the book, The Millionaire Real Estate Investor, written by Gary Keller, which collects the wisdom and experience of more than 120 Millionaire Real Estate Investors who built financial wealth through real estate investing. It reveals the investor’s proven strategies and summarizes their actions into straightforward and easy to follow models. The workshop is held on the first Tuesday of every month (except January) from 7:00 pm to 8:30 pm. The next workshop will be held on Tuesday, February 2, 2016, at Hillcrest Keller Williams Office, 3965 5th Ave San Diego 92103 (2nd floor) and will be their 55th monthly workshop. Space is limited (14 registered already), so please RSVP at www.sdmyhome.com or call 619-663-7139.