MARKET BEHAVES AS PREDICTED AS WE ENTER THE FINAL MONTH OF 2016!!!
As we head into the final month to wrap up 2016, not much has changed since the year began: Low interest rates and a small increase in prices month over month.
Market predictions have been spot on! The market has kept a comfortable growing pace thanks to continuing high job growth and low mortgage rates.
The one big drag on the market has been low inventory levels, unfortunately there is little to indicate that the low inventory situation will resolve anytime soon; some might say this is a good thing because it will keep us in this same pattern, however, I think with more inventory, we could see prices flatten out and finally see a flat consistent market.
Here are some stats for what we saw last month:
Pending Sales increased 9.6% for Detached homes and 8.0% for Attached homes. Inventory decreased 12.7% for Detached homes and 29.7% for Attached homes. The Median Sales Price was up 11.5% to $580,000 for Detached homes and 8.7% to $380,500 for Attached homes. Days on Market decreased 14.6% for Detached homes and 13.9%for Attached homes.
With all these positive stats, builder confidence is higher than it has been a long time, yet new development is low because of the cost to build in San Diego is so high. I believe in 2017 we will see a lot more new construction hit the market which will help us get to more sustainable inventory level. However we will have to wait and see what 2017 brings us! Stay tuned next month for our 2017 predictions.
Having been raised in San Diego, Joseph has a great wealth of knowledge of each community San Diego has to offer. Combined with being extremely hard working, having a great attention to detail, and having the ability to listen Josephs clients receive an elite level of service.
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"I found Joseph through Yelp, and despite his excellent rating, I watched him for months with an eagle eye for signs that he was at the end of his rope with my demands or giving less than 100% towards my home search/negotiations/escrow. Well, his dedication never flagged, and he remained professional even when we (ok, just my husband) got grouchy.
Throughout, Joseph was honest about his knowledge of our targeted areas, never over-inflating his opinion, and his advice always came with the deference to our wishes (unless we were about to make a huge mistake!). He is familiar with some pretty diverse pockets of San Diego County, but really made it a point to understand our tastes and needs. He drove me to countless showings, always with an organized plan, and scoured the new listings for us though we did use his helpful on-line search site too. We were implementing a 1031 exchange, so he helped us with projected rental prices, and is following through with his offer to assist in finding renters and maintain the properties (he does some limited property management for his family's company).
I think one of Joseph's best qualities is that he loves what he does. Things that appear as huge roadblocks to the client are enticing challenges for him. Buying or selling, I feel confident in recommending Joseph Arendsen as a person on whom you can rely."