(SanDiegoRealEstateBuzz) – Phew... its hot out there! Take a break from the sun and take a look at the San Diego real estate market, where things are running warm. As we enter the final month of summer, indicators continue to signal a strong market, with home prices and average days on the market holding steady, even as interest rates and inventory continue along their upward slope. Before back-to-school hits, San Diego home buyers and sellers alike should find opportunity in August's market conditions.
San Diego Real Estate Market Statistics for August 2018
Inventory: Homes for Sale in San Diego
As August kicked in, home buyers had 6,929 properties to choose from in San Diego. Detached homes accounted for 4,863 of total inventory, an 8 percent increase over July's detached home inventory. As for attached homes, August inventory totaled 2,066, or a 12 percent increase over July's numbers. Overall, the number San Diego homes for sale increased by almost 9.5 percent from month to month.
In August 2017, total home inventory came in at 5,430 homes, an increase of more than 21 percent.
San Diego Homes Sold in July
July's home sales reflect a slight downward trend, decreasing by almost 2.5 percent from 3,267 homes sold in June to 3,187 homes sold in July. In the same time period last year, 3,070 homes sold. This represents an almost 4 percent increase year-over-year.
Breaking these numbers down, we see that detached home sales increased by 3 percent, from 2,124 sold in June to 2,195 sold in July. Attached home sales, however, decreased by a more significant 13 percent, dropping from 1,143 sales in June to 992 sales in July.
As for time spent on the market, detached homes spent an average of 27 days for sale in July, representing an almost-4 percent increase from June's average of 26 days. Attached homes held steady, spending an average of 25 days for sale in both June and July.
In July 2017, detached homes lingered on the market for an average of just one day longer, or 3.7 percent. Attached homes sold almost 9 percent faster in 2017, spending an average of 23 days for sale last July.
San Diego Home Prices: Holding Steady
The median sales price of a detached San Diego home didn't change from June to July, holding steady at $655,000. Attached home prices increased slightly month-to-month, rising 2 percent from a median of $425,000 in June to $433,250 in July.
In 2017, the median price of a detached home was 5.5 percent lower, at $620,000. As for attached homes, median sales prices in July 2017 came in at $405,000, or 7 percent less than July 2018.
Interest Rates: On the Upswing Again
After a slight reprieve in June, we saw interest rates again pick up in July. Rates rose from 4.39 percent to 4.45 percent. A year ago, July's rates were significantly lower at 3.80 percent.
Overall, indicators were relatively flat this month. Sales prices and average days spent on the market held steady, while overall home sales dropped slightly. Rising interest rates should light a fire under home buyers; now is the time to jump into the market before rates increase.