It wasn’t just heating up outside this summer and fall. The real estate market was definitely heating up as well!
Prices in California are up again. Our home prices are now at a four-year high.
“The median price for new and existing houses and condominiums in Southern California reached $315,000, up 12.5 percent from $280,000 in September 2011. The median rose $6,000 during the month to its highest level since $330,000 in August 2008,” DataQuick reported last Friday.
If you were waiting for the bottom of the market to get in and buy, well ... you missed it.
I’ve heard from buyers in the past that they were waiting for the ghost inventory of foreclosures. Where are they? According to DataQuick, 17.7% of existing homes sold in September were in foreclosure during the previous year, down from 33.8% during the same period last year and 58.5% in February 2009. I guess they are still hiding.
Banks tend to be really good at making money and would never unload a huge supply of inventory into the market place. That would be them driving down their own prices and destroying their profit. Investors don’t like that sort of thing. They have been selling their inventory and releasing the assets in many different ways.
If you have been waiting for this to happen and holding your breath, please exhale.
We are still at an incredible time in the market with barely believable interest rates and still low prices.
Inventory is down, market times are down, and prices are up. It is becoming much more common again when priced-right listings are selling in a week, often with multiple offers.
Sellers who were holding off on selling are now reconsidering, realizing that in order to purchase their next home with these rates and lower prices, the time for them to act is now.
It might be time to check in with a lender just to see what your options are.
Realtor Bo Bortner offers his sound advice and personal knowledge of the industry as a successful agent with Team Metro Real Estate. He is well-versed in Hillcrest, North Park, University Heights, Mission Hills, Golden Hill and downtown, but his clients come from all over. He gives back to the community through his involvement with Mama's Kitchen, The Trevor Project and University Christian Church. He can be reached at (619) 840-2981 or online at his website.