As the month of August drew to a close, It is still a strong sellers market, while buyers (including cash investors) continued bidding wars on listed properties. However, the skyrocketing home prices may be peaking, with the average sale price finally slipping over the previous month. Our 20% year-over-year price increase has been slipping closer to a 17% increase.
There are a number of factors at work right now slowing the housing market down a bit. These include rising interest rates (from 3.5% earlier this year to a current rate of 4.7%), housing inventory levels catching up with demand, and prices simply peaking (they can only go so far before many potential buyers get priced out of the market).
To get the latest figures, I ran an analysis of home figures from the MLS for the central San Diego region. This includes communities such as Mission Valley, Serra Mesa, University Heights, Normal Heights, Hillcrest, Mission Hills, Bay Park, and Clairemont. The numbers include both condo/townhomes as well as single-family homes.
Housing Figures-Central San Diego
|Date||Number of Sales||Ave Sale Price||Ave Price/Square Ft.||Ave Days on Market|
Prices continued to rise in San Diego (now 17% year-over-year), while inventory seems to finally be catching up with demand. There are currently 6700 active listings in San Diego county. There were nearly 6000 last month and only 4000 earlier this year. Properties newly for sale also continued to sell very rapidly, with a mere 27 days on market.
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