May 2017 Orange County Real Estate Market Report
Welcome Back. I’m Jeb Smith, Real Estate Broker with ReMax Terrasol here in Huntington Beach with your southern California Real Estate Market Report for May 2017. Right now we are in the midst of our prime selling season and the Orange County market is firing on all cylinders with prices continuing to move upward and buyer demand outpacing inventory in many areas of the market. For those of you interested in the actual market statistics, please click here.
Over the last year or so, you have heard me talk a lot about supply and demand and how this simple principal has been the driving force in our real estate market for some time. As you might have imagined, not a lot has changed and the data continues to support a thriving real estate market. While inventory remains anemic and buyer demand continues to surge, there are areas of the market that aren’t moving as fast. The one thing about data though is it’s simply that, it doesn’t get out there and talk to agents about the market or discuss some of the potential issues that we are seeing in our market place. The reason I bring this up is because lately I have started to “feel” a lull in some areas of the market over the last few months. Let me be clear, I’m in no way saying that I think the market is making any drastic changes but I have felt that certain price ranges that were once flying off the market are now taking a little longer to sell even when priced according to market value.
Our average days on the market for Orange County is somewhere in the neighborhood of 55 days which means that it takes 55 days for a home to go into escrow after being listed for sale. Anything under 90 days is considered a Seller’s Market but Sellers need to be mindful that pricing their home correctly is the best way to get it sold and actually receive top dollar. A realistic value will often generate multiple offers allowing you to get your price, while over priced homes seem to sit and often have issues with the appraisal. Home Values continue rising and I expect this trend to extend through the Summer Season.
While prices continue an upward climb, interest rates are right at the lowest levels of the year. While not quite as good as pre-election levels, the low rates are still helping to keep the payments down even as prices rise. With the median home price in Orange County approaching pre-2008 levels, low rates are a big help in keeping homes affordable.
As you know, all Real Estate is local, so if you are a Buyer, Seller or Investor in Today’s market and you have questions, I would love the opportunity to help guide you in the right direction. If you would like more information about me, please go to my website www.jebsmith.net or check out my other videos here on Facebook or YouTube. As always, I appreciate you taking the time to watch and I look forward to seeing you again next month. Make it a great day.