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Active inventory has been low for the past five years, and the trend has continued this year, with 7% fewer FOR SALE signs compared to last year. Buyers have been tripping over each other in search of their piece of the “American Dream.” The lower the price range, the more competition and the harder it has been to secure a home.

It has been difficult and frustrating to be a buyer; that has not changed in years, and it is not projected to change in 2018. It is easy to empathize with buyers. Buyers cannot help but fall in love with a home, write an offer, and then find out that they are one of multiple buyers bidding on the same home. They are instructed not to fall in love with a home until they are the winning bid and escrow i...

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The number of pending sales over the past month dropped by 7% due to a supply of homes that is now dropping as well. Homeowners have been behaving differently ever since the Great Recession began a decade ago. A trend evolved and it has not changed since 2008. That trend is a drought of homeowners opting to sell their homes. In fact, this year it has been even more pronounced.

The number of homes placed on the market this year is the second lowest level this century behind 2012. The lack of homes FOR SALE back then was understandable as home values were only starting to rise and many homeowners were upside down in their homes, owing more than their homes were worth. Flash forward five years later to today and home values have appreciated ...

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Active inventory has been low for years, but this year it has been exceptionally low. The Orange County housing market has been frustrating buyers for years, and 2017 has proven to be especially frustrating. With 7% fewer FOR SALE signs this year compared to last year, there just have not been enough homes to satiate the voracious appetite of buyers.

As a result of low inventory and off-the-chart demand, Orange County homes have appreciated non-stop since 2012. In the past year alone (July '17 over July '16), the median sales price rose by 5.5%, and since 2012 has risen by 80%. Even with a rising median sales price, the historically low interest rate environment is keeping homes affordable. Interest rates are projected to remain low for t...

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The Orange County Housing Market has been gaining momentum nonstop for over five years. It has been like the initial hill on a roller coaster; clickety clack, clickety clack, clicket clack. It seems as if the housing market could increase forever. Yet, many buyers believe the housing market ascent has to reach a peak soon. It is completely understandable where these buyers are coming from, and they are right. The market will eventually reverse course and depreciate. The question boils down to “when?” The answer is, “not anytime soon.”

The housing market constantly changes. There are peaks and there are troughs. There are times when buyers are in control, and there are times when sellers are in control. The skeptic...

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It is the season for commencement speeches, diplomas, and caps thrown into the air to mark the end of a chapter and the beginning of something new. Similarly, this is the season where the robust, hot Spring Market comes to an end. Making way for the Summer Market.

While the Summer Market, may be a busy time of year for real estate; sellers, buyers, and real estate professionals feel a palpable shift. The active listing inventory slowly and methodically grows from now through mid-August. With an increase in listings, we also see an increase in the expected market time. Both inventory and time on the active market will increase through summer, and peak around mid-August.

The shift occurs because summer is full of distractions. From the bea...

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Bloomberg exclaims how homebuyers face bidding wars on “scarcer-than-ever” U.S. listings. CNBC describes spring housing as the “strongest seller’s market ever.” The Wall Street Journal reports that U.S. home resales spiked to hit a 10-year high. It’s no wonder homeowners are listing their homes with high expectations.

Bloomberg, CNBC, and The Wall Street Journal are all reporting on the national market. They are illustrating how there is no inventory, that homes are generating multiple offers, and that home prices are rising through the roof on a national level. Orange County follows suit in many of these factors, and the local median sales price for a home is $665,000, far above the national average.

A...

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The United States economy is revving its massive engine. Jobs are beating expectations, the unemployment rate has fallen, wages are rising, and inflation is on the rise. As a result, the Federal Reserve is expected to once again raise the Federal Funds rate this week, which has already had an impact on mortgage rates, rising to a 2017 height.

What impact will the positive economic situation have on future interest rates? The historically low 3.5% mortgage rates are officially in the rear-view mirror, a chapter in the history books of the housing recovery. Buyers should not wait around for those rates to return. Instead, cashing in on today’s mortgage rate, still historically low, is a wise strategy.

Unfortunately, everybody has bec...

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The current Orange County housing market is scorching hot. Once again, buyers are tripping over themselves to purchase. Homes that hit the market are fetching multiple offers within the first couple of days. When a home is priced at or close to its Fair Market Value, the purchase price is often higher than the asking price. This is the nature of a housing market with very little inventory and very high demand.

The expected market time (the amount of time it would take for a newly listed home today to be placed into escrow) for all of Orange County is now at 50 days. When the expected market time drops below 60 days, the market is considered a solid seller’s market with steady price appreciation. Last year, Orange County was only be...

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In Southern California, “surf’s up”, is a phrase used to describe favorable conditions of the waves at the beach when they are worth surfing. In describing the Orange County housing market right now, it is a great time to sell a home, and yes, “surf’s up!” If you are a homeowner who wants to sell, but you are waiting for the “Spring Market” because that is when the conditions are “the best” for selling a home, there is no need to wait this year. Grab your surfboard, contact our professional real estate team, and jump in the water… Surf’s Up!

After a slow start to the Winter Housing Market due to fewer active listings at beginning of the month, everything that is com...

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With interest rates increasing, change is afoot. Many experts are anticipating more Federal Reserve hikes in the short term rate, which will be accompanied by a rise in the long term rate as well. The Federal Reserve made an initial hike in December and is poised to make more in 2017. Long term rates are not immediately impacted by changes in the short term rate, but multiple increases will definitely have an impact on the Orange County housing market.

In December of 2015 the Federal Reserve hiked interest rates and then hinted at four more in 2016. These expected hikes did not occur. However, briefly after the election, rates rose as high as 4.5%. Recently the rate increase has eased slightly. The Federal Reserve meets eight times per y...

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