Residential real estate is experiencing its best year since the recession. Housing demand is healthy, and that is expected to continue until the end of the year. Home sales are actually set to have their best national showing since 2006. More of the same is anticipated in 2016, but inventory and affordability challenges coupled with mortgage rate increases will likely keep any sort of monster growth in check. This should be a good thing for keeping home prices from increasing too rapidly to maintain economic stability.
The Median Sales Price was up 10.5 percent to $539,000 for Detached homes and 6.3 percent to $340,000 for Attached homes. Days on Market decreased 13.0 percent for Detached homes and 7.5 percent for Attached homes. Supply decreased 28.1 percent for Detached homes and 37.0 percent for Attached homes.
The price range that tended to sell the quickest was the $500,001 to $750,000 range at 36 days; the price range that tended to sell the slowest was the $1,250,001 or more range at 65 days.
Market-wide, inventory levels were down 23.4 percent. The property type that lost the least inventory was the Single-Family Homes segment, where it decreased 21.2 percent. That amounts to 2.3 months supply for Single-Family Homes and 1.7 months supply for Condos – Townhomes.
According to the recent report from the Standard & Poor’s Case-Shiller Home Prices Indices, the monthly rise was one of the fastest among 20 large real estate markets included in the indices, while the annual climb ranked seventh. The indices were created by taking the cost of housing in each market in January 2000, assigning them a value of 100, and tracking the subsequent rise and fall. San Diego’s mark in September was 216.62, reflecting more than a doubling of home prices in nearly 16 years. The rate of increase is the nation’s second fastest behind Los Angeles. This confirms the Millionaire Investor Thinking “the value of the Real Estate will always go up over time”.
San Diego ranked the 6th hottest housing market in the nation in November, According to Realtor.com report. Also Realtor.com ranked San Diego 6th hottest housing market for Home-Buying Millennials in 2016, ranked 3rd real estate market that look the most bullish for the coming year.
These information are great reason why you should buy a home or investment property in San Diego. If you are thinking about it, please contact us.