Southern California Real Estate Competition

Spring has sprung, and the Southern California real estate market has taken off. People are grappling to have a chance at snagging a home in this sunny California region. With the market slowly rising over the past couple of years since the economic recession, houses are aiming to reach their peak price. You can see this in just about all of Southern California. There is a high demand for houses in this region with not much inventory to provide. What does this mean for buyers and sellers? It means the competition is going to be steep.

CoreLogic has reported that sales in February have jumped up 9% from last year. This increase shows just how competitive this market is. The median household price rose 3.7% and looks to only continue to rise.

According to realtor Jeff Lazerson, his clients are putting an average of five offers on a house before they seal the deal. He’s also seen a huge increase and demand, particularly for first time home buyers. Along with the high demand for first-time buyers, a lot of people are looking to upgrade to a bigger home. He states, “The market seems to be healthy again on all levels.” He’s not the only agent to think so.

Other real estate agents claim that the traffic through open homes is at an all-time high. There seems to be a particular influx more inland, due to people not being able to afford to have a home right near the ocean.

With the shortage of homes up for sale, it’s very likely that every house will sell with at least a couple of offers made on each home. This trend can be seen all throughout Southern California and is good news for the seller.

San Diego, in particular, has a median day on the market of only 24 days. The percent of home that is being sold above asking price is at 17.6%, and the months of supply is at 4.5. The competition is certainly fierce according to CoreLogic analytics.

Realtors explain that the main issue why the price growth is so strong is due to the lack of inventory. Simple supply and demand. Houses are selling as quick as a week all throughout Southern California. The market is on fire right on.

Buyers also want to take advantage of the low mortgage rates right now. If you’re looking to buy or sell a home this is the time to do it.

Lopez Real Estate knows exactly where to find the best homes for the best prices. Selling your house is a breeze with us. We take the time and effort to listen to your wants and needs and know the market like the back of our hands. Don’t hesitate to contact us about any real estate concerns, we do it all. We make buying and selling a smooth process so you can concentrate on the important things in your life. Contact us today to get started!