In the beginning of 2014, buyers complained that there was not enough inventory (but the inventory had actually increased from 12 months earlier). Over the next several months, the housing inventory increased enough so as to slow down the rise in home prices, and in some areas prices even went down a little. Buyers were able to be a little choosier and were able to negotiate a better price. However, the average length of time a home stayed on the market was just over three months, still a seller’s market. Now that fall is here, I am noticing a marked decrease in new listings throughout Orange County.
I think buyers are still motivated, and there are plenty of home shoppers out there while interest rates are still low. Pending home sales remain constant while inventory drops. Buyers will probably note the decrease in inventory, and I think this will keep home values from falling and/or stalling.
Buyers are unwilling to overpay for a home, so sellers should still be wary of overpricing their home. Buyers still want a nicely updated home or a home in a good location, and a seller will find plenty of buyers for their home if it meets this criteria so they need not worry about their home going for under market value. If you have a fixer to sell, there are ample buyers for this type of home, but only if it is priced accordingly.
The market is always changing , and there are typical seasonal trends, but the nuances are key whether you are buying or selling. Call me for more information about statistics in your own market area. 949.525.5905