Orange County Housing Market Summary: 4-25-19

David Deem
714-997-3486

The active listing inventory increased by 57 homes in the past two weeks, up 1%, and now totals 6,933. Last year, there were 5,144 homes on the market, 1,789 fewer than today. There are 35% more homes than last year.
So far this year, 3% fewer homes came on the market below $500,000 compared to 2018, and there were 15% fewer closed sales. Fewer and fewer homes and condominiums are now priced below $500,000. This price range is continuing to vanish.
Demand, the number of pending sales over the prior month, increased by 279 pending sales in the past two-weeks, up 11%, and now totals 2,724, surpassing the prior year for the first time since July 2017. Last year, there were 2,340 pending sales, 3% fewer than today.
The Expected Market Time for all of Orange County decreased from 84 days two weeks ago to 76 days today, a slight Seller’s Market (between 60 to 90 days) and the highest level for this time of the year since 2011. It was at 58 days last year.
For homes priced below $750,000, the market is a Seller’s Market (less than 60 days) with an expected market time of 55 days. This range represents 40% of the active inventory and 55% of demand.
For homes priced between $750,000 and $1 million, the expected market time is 66 days, a slight Seller’s Market. This range represents 18% of the active inventory and 21% of demand.
For homes priced between $1 million to $1.25 million, the expected market time is 83 days, a slight Seller’s Market.
For luxury homes priced between $1.25 million and $1.5 million, in the past two weeks, the expected market time decreased from 109 to 108 days. For homes priced between $1.5 million and $2 million, the expected market time decreased from 154 to 133 days. For luxury homes priced between $2 million and $4 million, the expected market time decreased from 222 to 186 days. For luxury homes priced above $4 million, the expected market time decreased from 466 to 425 days.
The luxury end, all homes above $1.25 million, accounts for 33% of the inventory and only 16% of demand.
Distressed homes, both short sales and foreclosures combined, made up only 0.9% of all listings and 1% of demand. There are only 23 foreclosures and 36 short sales available to purchase today in all of Orange County, 59 total distressed homes on the active market, down 2 in the last two-weeks. Last year there were 43 total distressed homes on the market, slightly fewer than today.
There were 2,265 closed residential resales in March, 13% fewer than March 2018’s 2,613 closed sales. March marked a 47% increase from February 2019. The sales to list price ratio was 97.3% for all of Orange County. Foreclosures accounted for just 0.4% of all closed sales, and short sales accounted for 0.5%. That means that 99.1% of all sales were good ol’ fashioned sellers with equity.

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