Housing Inventory and the Market
Based on recently published data, the once depressed real estate market in Southern California is currently—although it’s a bit volatile—a prime “seller’s market” at least for now. Keeping Current Matters attributes the current state of the market to rapid inventory fluctuations:
Housing inventories increased in August and stood just 2.5% below their levels of a year ago, offering the latest sign that more sellers are testing the market after swift home-price gains over the past year.
Certainly, many smart homeowners have already rushed to cash in as home prices throughout the state continue to rebound at a record pace. If you are tentative, perhaps waiting on the sidelines to see if it will hold steady, consider the following data as it may push you toward the ‘for sale’ direction.
The Real Estate Market Spurs Investors
The increase in inventory is also ideal for buyers seeking to purchase a home since interest rates have dropped recently. This window of increased inventory and reduced interest rates is a great opportunity for buyers as they may not need to move as quickly as earlier in the year. Experts like those at Fiscal Times are comparing the present market to the investors’ market of years past that spawned the flipping frenzy:
Now that a housing recovery is in progress, more traditional buyers are trying to get in on the action, seeking investment returns beyond what they can find in the stock market.
Although some critics are sending out warnings of a potential housing bubble, according to HousingPredictor Southern California is forecasting well all around for the rest of 2013:
According to trulia.com, the price per square foot of homes in Los Angeles has increased by 32 percent compared to the same period last year and is currently at $371. Median home prices also increased by 37.5 percent. The median home sales price for Los Angeles is $440,000. Moneyjournal.com expects the Los Angles’ real estate market to improve by 5.9 percent in 2013.
‘The Biggest-Year-Over-Year Jump’
Consider a recent report by KABC. The piece claims that the average price paid for a home in California last month went up from $274,000 in June 2012 to $352,000. That’s a 28 percent price hike. According to the article, it’s “the biggest year-over-year jump since records began in the late 1980s” as published by the real estate tracking firm DataQuick. And, says Steve Berkowitz, Chief Executive Officer of Move in a recent report on Realtor.com:
Inventories on realtor.com reached their highest level in June since the beginning of 2013. We’re seeing increases as high as 51 percent month-over-month in many southern California markets. Sellers are continuing to list homes at a steady pace…signs that the market recovery is continuing at a healthy pace.
Invest in the Right Realtor
Of course no one can predict with 100% accuracy what the real estate market will do over time. Inventory dips and increases especially in this current unpredictable pattern. However many experts and investors are saying that selling now could yield a homeowner a sizable profit. Further, the economy has indeed continued to reveal a steady incline over the past year as forecasters—both economists, real estate proponents and those pesky ‘bubble’ naysayers—carefully tracked the data.
If you are ready to sell or invest, choose Westlake Village Real Estate. Choose the realtor who knows the market and the area best! Strike while the iron is hot, especially in the Westlake Village and Thousand Oaks area. Contact Lydia Gable now to view current home listings.