San Diego Real Estate Market Update

Home sales continue to remain strong as the summer selling season descends on San Diego.

Compared to April 2012, May sales for single family homes were up 8.4%.  Condo’s were up 1% compared to April according to the San Diego Association of Realtors.

Comparing pricing from May 2012 to April 2012 single family homes were up 4.1% and condo’s rose dramatically to 9.5%. 

Year to year, May 2012 to May 2011, single family homes remain relatively unchanged while condos rose 7.2%.

Low inventory continues to be a key factor in increased sales and pricing.  According to C.A.R. Vice President and Chief Economist Leslie Appleton-Young “inventory levels have not been this low since December 2005.”  Statewide single family detached home supply dropped down to 3 ½ months in May a 0.7 decrease from April.  Year to year, housing inventory was down 5.7 months.  Historically a 7 month supply is considered normal for the state. 

Interestingly, building permit requests are the highest they have been since September 2008 according to a recent government report released Tuesday and reported by  Building permits are an important statistic to monitor as they represent not only future housing opportunities, but future job growth.    Job growth is something we all can agree is paramount in the recovery of our national economy and ultimately, our housing market. 

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