San Diego Home Prices are Up 6.4% Over Last Year
Overall, home prices are up in San Diego. The current 6.4 percent increase accounts for median home prices within the area over the last 12 months. Although a bit lower from this past December and January, the market is growing at healthy rate. The reason for the slight dip is due to low entry- to mid-level home inventory.
As more people are turning to the real estate market to invest or diversify their portfolio, homes prices within the entry-level range are harder to find. Layer the fact that millennials are starting to enter the real estate market for the first time and inventory starts to deplete fast. So, as homes within the entry- to median-range are being scooped up rather quickly—buyers are having to compete just a bit. The average median single-family home in San Diego sold for $583,490 in April according to the California Association of Realtors. As current homeowners find increasing equity in their existing home, they are more likely to upgrade and do so quite easily.
Potential home buyers looking for inventory above the median range will find more homes available. This scenario is a win-win situation for these current homeowners. Additional equity within their current home allows them to upgrade. Plus, homes on the market priced above the median price range are more plentiful. Having more inventory to select from gives this group additional negotiating power. Furthermore, 30-year fixed rates are still low. So, financing your new dream home is most likely within reach too.
If you are looking to upgrade to a new home, you still have time to make the move. Most experts agree that interest rates will remain steady over the next six months. Giving you a few months to get your current home in order and list with an agent. If you are just entering the market, contact an agent today. Even though inventory levels are a bit low, a professional agent that is well networked can help you find the right place to get you started. Remember, the market is healthy and is continuing to grow. So, you still time to find your perfect home at a great rate.
If you found this blog helpful you might also want to read, “Direction of the Housing Market in 2016.”
Thinking of buying or selling a home in the La Jolla area? As consistent top producers in real estate, Linda Daniels and The Daniels Group are your La Jolla housing specialists. Working with The Daniels Group will give you with the advantage of having local experts to ensure that you have a successful real estate transaction. From buying, selling and investing to financing options and more, we have the expertise and resources to help you achieve your goals. Call us today at (858) 361-5561 or email us anytime by clicking here.