HOW'S THE REAL ESTATE MARKET DOING?
(As of OCT 2019)
The infamous Mortgage Meltdown led to the most epic real estate market crash in modern history. The bottom of that market was February 2009. Most of the current financing & monetary policies are still created in light of this crash.
Market resilience, and good old fashioned supply & demand have created a TEN year run-up in prices. For example, in San Diego County prices went from $320K in FEB 2009 up to $665K in JUN 2019. What most people don't realize is this price increase represents a 107% INCREASE since February 2009 - the market has DOUBLED, - it's gone up just over 10% per year. This has been a stable and phenomenal recovery.
Since a typical market will only go "UP" in value for about 5-7 years, and since we're now in our 11th year I wonder if we'll possibly level off and stabilize. I'm not entirely sure, but I believe the following two things are the most important to watch: INTEREST RATES and INVENTORY.
Rates took a big dip this summer year and caused a huge increase in market activity. Additionally, inventory remains VERY low. Once rates stabilize and/or come up a little bit then I believe it will help to create an extremely stable market. Buyers will likely have more inventory to choose from and the "multiple offers over asking price" scenario which many areas have been experiencing will trail off a bit ... and this is a good thing b/c no more market can sustain that kind of craziness for too long.
Keep checking this page for the current market conditions in San Diego, and of course if you have any questions give me a ring @ 858.531.4663 or shoot me an email to Troy.NicholsRealty@gmail.com . I'd love to help you with all your real estate & financing needs.