Zillow Offers is a new program that has arrived in San Diego. This new program offers to help homeowners sell their home faster. While this may sound appealing to sellers, the downside is the price point. Zillow Offers may not pay what some sellers would like. Their offer comes in at market value and not typically higher. This may be good for sellers who are simply ready to move on from their current home for various reasons and are not too concerned with getting the highest offer. It’s also an opportunity for sellers who are not interested or cannot afford to make any renovations or changes to their home that would garner a higher offer. So while there are benefits to this program, it is not for everyone.
I recently commented on the decline in home prices we have seen over the last months in San Diego. Many homes in the market have had price reductions, which can be common during winter months, but it’s something we haven’t seen in San Diego homes for some time. While this can be a positive change for buyers, I believe it is still a sellers’ market due to the low inventory. For the full article click here.
I got the opportunity to talk with The San Diego Union Tribune about the rising costs of apartments in Downtown San Diego. With many new developments comes competition to gain tenants, but the high rents are not drawing in as many renters. Apartment complexes have started to offer concessions to draw in new tenants. I believe the high pricing is a step into drawing in new tenants. It is easier to bring down prices than to raise them. It’s a starting point for these new developments and will help them to find the right asking price.
To read more about this situation and the full article click here.
Median home prices in San Diego have hit a new record high and prices may not be slowing down. I spoke with the San Diego Union Tribune about this trend in home prices and what it may mean for potential home buyers. The market is very competitive now, and buyers need to be prepared to present their best offer if they are very interested in a particular home.
Read more about this topic at San Diego Union Tribune.
The San Diego County median home price was $529,000 in January, down by $11,000 since December, said real estate tracker CoreLogic on Tuesday.
The big picture: In a year, the median price increased 6.9 percent. San Diego County’s median home price hit an all-time high in June of $545,000. While January’s median is not far from the record, it might take a while to return to that level.
How prices could change: Rising interest rates and other factors could slow the pace of home price increases in the coming year, some experts say.
“The price is already pretty high and now you put higher interests rates on top of that,” said Alan Gin, economist at University of San Diego. “That’s going put home purchases out of reach for some people.”
The rate for a 30-year fixed mortgage was 4.52 percent Tuesday, up from around 4 percent at the end of last year, said Mortgage News Daily.
Mark Goldman, a real estate lecturer at San Diego State University, said he expected median price increases to slow as the market comes down from last year’s highs.
“The market is slowing down, in general,” Goldman said. “Prices are topping out and I don’t see a reversal. (Prices last year) were increasing at a very aggressive rate.”
The housing market reached new price peaks in 2017, shattering records left over from the 2005 housing boom.
Home prices rose as the number of homes for sale continued to drop — even more so than previous years. Meanwhile, the number sales stayed about the same.
Strong job growth, low unemployment and historically low-interest rates all contributed to rising prices, said Mark Goldman, finance and real estate lecturer at San Diego State University.
“If you look back at 2017, it was a robust year,” Goldman said. “Interest rates were quite good, the economy was continuing to barrel ahead, wages were strong, employment was strong and millennials were aging into the homebuying market.”
The San Diego median home price cooled slightly in July, ending a three-month streak of record-breaking peaks.
Experts attribute the high prices to a lack of homes for sale and intense demand. The relatively small reduction in home prices from last month does not have anyone thinking prices are heading south.
“I don’t see anything pushing prices back at this point,” said Mark Goldman, a finance and real estate expert at San Diego State University.
By: Phillip Molnar
The San Diego County median home price reached $515,000 in March, its highest point in a decade and a 7.7 percent increase in a year, real estate tracker CoreLogic reported Tuesday.
“Home prices are going up faster than household incomes,” said Mark Goldman, finance and real estate lecturer at San Diego State University. “However, there is a shortage of units on the market. You have a lot of buyers chasing very few properties.”
By Phillip Molnar | 1:34 p.m. May 31, 2016
Southern California home prices continued to outpace the national average, and many major cities, said the S&P/Case-Shiller Home Price Index released Tuesday.
Prices nationally, adjusted for seasonal variation, rose 5.2 percent in the 12 months ended in March, with the Pacific Northwest and West seeing the biggest gains.
San Diego County’s median home price increased 6.2 percent , lower than the 6.4 percent increase in February and 6.9 percent in January. Los Angeles and Orange counties were up 6.5 percent, down from 6.8 percent in February and 6.9 percent in January.
Mark Goldman, finance and real estate lecturer at San Diego State University, said a slower rate of appreciation is a good thing. He said price increases of 3.5 percent to 5 percent are more sustainable.
Article By: Phillip Molnar | 12:49 p.m. April 26, 2016
Home price increases outpaced the national average in San Diego County in February but at a slower pace than usual, said the S&P/Case-Shiller Home Price Index released Tuesday.
“At this point, keep an eye on it. Don’t panic,” he said. “We’re in a good, sustainable range of price appreciation.”
Goldman said the home market could continue to do well for owners if investors decide real estate is a better play than stocks and bonds.
“I think people are more comfortable owning property than securities,” he said, noting the ups and downs of the stock market.