Homes for sale in San Diego continue to be at historically low numbers.  I’m being to feel like a broken record.  But take a look at the chart, provided by the San Diego Association of Realtors, below.  It illustrates active (homes currently on the market), contingent (homes with offers accepted but awaiting bank approval-typically these are short sales) and pending sales (homes with an accepted offer and currently in escrow).  The chart illustrates since January of 2012 to January 2013, San Diego has had a steady decline in available homes for sale yet a strong demand for housing.  Currently the number of homes for sale (active) is just barely outpacing the number of homes in escrow (green).  Looks like 2013 is off to a bang for San Diego’s Real Estate Market.

Available Homes for Sale Remain Low Throughout San Diego

 Confidence in the housing market rose for the eighth consecutive month this month amongst home builders.  The National Association of Home Builders and Wells Fargo & Company placed the reading at 47- the highest reading since April of 2006, according to the Los Angeles Times. 

Although we are not out of the woods yet from a National Housing recovery, the numbers and the confidence amongst buyers is the strongest its been in over five years.  As foreclosures shrink and inventory remains low, more folks are turning to new home sales incentivized by the often excellent credits builders can offer at closing. 

Most experts agree that builder confidence is a pivotal statistic to watch as a sign of housing recovery.  If you are sitting on the fence waiting for conditions to get “better” perhaps it’s worth a second look.  Many experts agree that the bottom has long since past.  Don’t miss your opportunity to own a piece of the American Dream:  Home ownership.  And in San Diego, what better place to own a home?

San Diego Housing Market finishes with a bang in 2012

Low inventory, low interest rates and extremely high demand continue to challenge San Diego’s Housing Market and make it extremely competitive.  The average days on the market for single family homes in San Diego, during the month of October, was 81 days.  This is down compared to October 2011 with the average a year ago at 105 days.   Take a look at this chart below for a few hotspots nationally.

Homes are selling like hotcakes!

San Diego’s housing market continues to experience high demand despite the holiday season.  Multiple offers continue to be the norm on well priced and below market houses as investors compete for the deals often times beating out conventional, VA and/or FHA first time buyers.

If you or a friend is seeking to get into the San Diego housing market, it is paramount to have a well crafted and strategized housing plan.  This includes getting pre-approved with a lender you can trust, working out your budget ahead of time, setting goals and sitting down with your Realtor^® to discuss your ideal home before you start to search.  It is very easy to become discouraged amongst the competition but doing a little homework ahead of time will greatly improve your odds of success. 

If you don’t have an aggressive, active, full time Realtor on your side, call me for an interview today.  I have 100% success in today’s market and look forward to helping you!

Many of my buyers are shocked and frustrated at the challenges they go through to actually get into escrow on in the San Diego Real Estate Housing Market.  Why is it so hard?  The question often transcends how well qualified buyers are or how much they are putting down, but relies more simply on the available inventory of homes for sale here in San Diego. 

Surprisingly, we are at a historically very low point.  The graph below, provided by the San Diego Associations of Realtors, illustrates just how low we are on available homes for sale here in San Diego. We are at 1.3%…..that’s exactly 1.3 months supply of available homes for sale.

For many years sellers have been hearing it’s a “buyer’s market” and selling your home will not result in top dollar.  However, this is no longer the case.  Most every home in San Diego’s real estate market experiences multiple offers.  There is that much demand!  With 1.3 months of available inventory for sale, it technically is a seller’s market.  So I ask all seller’s out there, what are you waiting for?  There has never been a better time to sell your house in San Diego.  Don’t wait for the UT to print an article on the fact.  Stay ahead of the curve.  Capitalize on the pent up demand and low interest rates! 

What are you waiting for????

Access to available homes for sale has never been greater for the general public.  Mega websites sites such as Realtor.com, Zillow.com and Trulia.com have given consumers direct access to the MLS.  That’s a good thing.  However, as any buyer will tell you, having access and gathering information is only the first step in buying a piece of the San Diego Real Estate pie.  Having a seasoned, honest and experienced Realtor on your side will save you thousands of dollars, hours, headaches and stress.   A good Realtor is worth his or her weight in gold.  A good Realtor is a friend for life.

The chart below is quite interesting for it just how most people find their home.  Surprisingly, it is through the expertise of a Realtor.  And with the seller flipping the bill, why would you do anything differently?

If you want to know what direction the housing market is heading, watch what developers do.  It’s a given.  When builders, who spend millions analyzing future housing demand and economic conditions, start to believe that now is a good time to build, well you probably should take some stock in their actions.  You will surely be witnessing the housing market recovery in its neonatal stages.

According to a government report issued this week, the pace of new home construction surged to a four-year high in September.  The National Association of Home Builders said its October survey of members found confidence among builders at the highest level since 2006.   Builders are beginning to jump of the fence and build houses to accommodate future demand.

 “Builders started work at an annual pace of 872,000 homes last month, up 15% from the pace in August. They also filed for permits to build homes at an annual rate of 894,000, up 11.6% from the previous month. Both readings were the best since the summer of 2008, before the meltdown in financial markets that caused home lending and building to freeze up “according to Cnn.com

What exactly are the forces driving builders?  It can largely be attributed to record low interest rates and the promise by the Fed to hold rates low for months to come.  A drop in unemployment and growing demand for housing has also contributed to builder confidence.  All of these factors have also been driving the San Diego residential home resale market for most of 2012 making competition for good homes fierce.

Don’t take my word for it.  Talk to your neighbor or a friend or relative who’s in the housing market.  They will tell you the demand/competition for a good home, at a fair price, has never been greater.  But they’ll also say, their payment for such as home, has never been smaller.  I truly hope if you have means and the desire to enter the San Diego Housing market you will.  Not for my sake but for yours.  Southern California real estate is a solid investment and with record low pricing and interest rates, there truly has never been a better time to start building wealth.