Low Demand Equals High Prices
The latest numbers are out!! According to Redfin News, U.S. Home prices are up 3% this year, nationwide, while San Diego home prices increased by 12%-just between February and end of May.
So, what gives? The answer, supply and demand. The median U.S. home price has risen 3% year over year during the four weeks ending August 6th. This has been the biggest increase since November 2022! Although some buyers have been sidelined due to higher mortgage rates, low housing inventory is pushing prices up, with more house hunters than homes for sale. Nationally, the month of supply or absorption rate is at 2.7 months, indicating it's still a seller's market. Homes that sold were on the market for a median of 28 days with 43.6% going under contract within the first two weeks on the market.
Whether you want to sell your existing home, buy your first home, upsize, downsize, purchase a vacation home, or just talk about options, a real estate professional is your best source for information based on current trends in our area. If you're interested in learning more about the 2023 real estate forecast, don't hesitate to reach out - we're happy to help!