February 2020 - San Diego Real Estate Market Update

Good News:  If you're thinking of selling - inventory remains low in most areas and values are as high as they've ever been. Because of the counties strong employment and wages numbers and historically low interest rates, buyers are armed and ready to purchase a home. That being said, gone are the days of 10+ offers the first weekend on the market - it's important to price realistically and position yourself on the market well. Homes are typically receiving an average of 2 offers and selling on average in 30 days.

If you're thinking about buying - mortgage interest rates are near their all-time low - only .25% higher than the lowest they've ever been - making your housing payment more affordable. It seems homes are taking a bit longer to sell and are selling for 1-2% under list price, which indicates a slight shift away from the intense sellers market we've seen in recent years. With the projected appreciation of homes this year and no sign of a recession that is likely to impact home values in the next couple of years, it's a good time to buy and start gaining equity.

Bad News:  The steep equity gains of the past several years seem to be slowing down and you can expect about 2% in appreciation this year as opposed to the 6%+ we've seen in recent years past. The low interest rates and property tax concerns are incentivizing would-be sellers to stay in their homes longer which is a tough pill to swallow for buyers and homeowners who want to move-up alike.

So what does that mean for you?

It depends on your specific situation! If you want to feel out your options or you ever want to just talk shop, give me a call!