New Report Reveals San Diego 2nd Healthiest Market in California
The latest data from CAR shows San Diego rapidly taking up second place as one of the strongest real estate markets in the state.
So what does the new round of stats reveal and what's in store for local property prices?
Distressed Home Sales Dive in San Diego
The August Pending and Distressed Home Sales Report from the California Association of Realtors shows a dramatic drop in distressed property sales.
Second lowest only to San Mateo, only 17% of San Diego County single family home sales in August 2012 were distressed property sales. That's a huge drop, down from 27% during the same period last year.
Contrast this with the statewide average of 37.8%, with some counties seeing distressed sales making up over 60% of transactions and we are way in the lead when it comes to the real estate rebound.
Of the distressed sales in the Golden State in August REOs have dropped over 13% year-over-year to just 14.4% as short sales nudge their way up as mortgage lenders and banks step into stem the flow of foreclosures.
But is the Rebound Stalling?
In this same release CAR also reveals a drop in pending home sales over last year. Does this mean a stall in the recovery?
Not likely. The California Association of Realtors points to a lack of home inventory and homes for sale as the main reason for this decline, though it is also certainly a part of seasonal trends and regular cycles too.
Obviously there is still a good deal of pent up demand and cash on the sidelines, waiting to see how the election plays out which together with normal seasonal shifts should provide another spike in activity before 2013.
What's the Bottom Line for San Diego Home Buyers & Sellers?
With little competition this is certainly a great time for sellers to put their homes on the market for attracting great offers.
For those looking to buy a home in San Diego, CA it's a smart time to make the move, especially with mortgage rates dropping again to a new record low and the low percentage of distressed sales a precursor to a spike in home prices.
This upward spiral of higher San Diego home values enabling and making it more attractive for local homeowners to sell is also fuel for more profits for California real estate investors looking to lock in to the rapid rise in home equity.
What do you think? Are you still holding out before listing your home for sale or are you still holding out for a better deal on your next home?