November 2016 – Market Inventory
Market Stats: This is a ten year graph of Housing Inventory (blue) vs Buyer Demand (green). The two times that the blue and green almost touched sparked multiple offers and radical price increases (2004 & 2013). The chart for November 2016 is showing a balanced market. Technically the inventory charts are showing a “SELLERS MARKET”. However increasing interest rates since the election are concerning buyers. Inventory started the year lower than 2015 and created a heated start to the buying season. Over priced listings did not sell. The Feds have begun to raise interest rates. Many buyers are trying to get their dream property before the rates go up.
Believe it or not, the one to two million dollar homes near the ocean or with ocean views are going like hotcakes. So are the one story properties with upgrades. The empty nesters have been out in force this year. The light blue curve showing the housing inventory pattern for this year has followed a familiar pattern. Our heaviest listing months are March, April and May. There are more buyers at this time as well. By July and August the number of families in the buying market begins to dwindle due to school and vacation schedules. Over priced listings also contribute to the peak inventory hitting every August. There is usually a second wave of listings and buyers September thru December.
What do you think?
Housing Inventory for Orange County started the year at 5000 homes. Buyer demand will stay strong as long as the interest rates stay low. For a FREE HOME VALUE evaluation call Ron today at 949-456-0505 or Click Here.
Short Sales and Bank Owned properties make up about 2 to 3 percent of the Orange County Housing Market.
For the latest OC HOUSING REPORT BY STEVEN THOMAS, click HERE.