Orange County Housing Summary: April 22, 2021

 

David Deem
714-997-3486


 The active listing inventory increased for the first time since October, adding 144 homes in the past two-weeks, up 6%, and now totals 2,384. It appears as if the inventory bottomed out two weeks ago. In March, there were 5% fewer homes that came on the market compared to 5-year average between 2015 to 2019 (2020 was skewed do to COVID-19), 179 less. Last year, there were 4,344 homes on the market, 1,960 additional homes, or 82% more.

·        Demand, the number of pending sales over the prior month, decreased by 92 pending sales in the past two-weeks, down 3%, and now totals 3,070, its first drop of the year. Even with rates dropping in the past couple of weeks, demand still dropped and may have peaked a couple of weeks ago. Last year, there were 1,990 pending sales, 65% fewer than today. Keep in mind, it was the start of the pandemic too, which negatively affected demand through May.

·        The Expected Market Time, the number of days to sell all Orange County listings at the current buying pace, increased for the first time this year from 21 days to 23, an extremely Hot Seller’s Market (less than 60 days). It was at 121 days last year, slower than today. 

·        For homes priced below $750,000, the market is a Hot Seller’s Market (less than 60 days) with an Expected Market Time of 18 days. This range represents 29% of the active inventory and 38% of demand.

·        For homes priced between $750,000 and $1 million, the Expected Market Time is 16 days, a Hot Seller’s Market. This range represents 18% of the active inventory and 26% of demand.

·        For homes priced between $1 million to $1.25 million, the Expected Market Time is 17 days, a Hot Seller’s Market.

·        For homes priced between $1.25 million to $1.5 million, the Expected Market Time is 23 days, a Hot Seller’s Market.

·        For homes priced between $1.5 million and $2 million, the Expected Market Time decreased from 32 to 27 days. For homes priced between $2 million and $4 million, the Expected Market Time decreased from 53 to 45 days. For homes priced above $4 million, the Expected Market Time increased from 132 to 148 days.

·        The luxury end, all homes above $1.5 million, accounts for 37% of the inventory and only 17% of demand.

·        Distressed homes, both short sales and foreclosures combined, made up only 0.5% of all listings and 0.3% of demand. There are only 6 foreclosures and 5 short sales available to purchase today in all of Orange County, 11 total distressed homes on the active market, up 3 from two-weeks ago. Last year there were 41 total distressed homes on the market, more than today.

     There were 3,212 closed residential resales in March, 35% more than March 2020’s 2,383 closed sales. March marked a 41% rise over February 2021. It was the strongest March closing month since 2005. The sales to list price ratio was 100.3% for all of Orange County. Foreclosures accounted for just 0% of all closed sales, and short sales accounted for 0.09%. That means that 99.91% of all sales were good ol’ fashioned sellers with equity.

 

DRE#01266522

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