2016 will go down as an excellent year for real estate in East Chula Vista (ECV*). The average sale price of detached homes is now at $594,791, up 6.9% from 2015 and 45% from our 2011 low point. Thanks to a shortage of inventory and increased buyer demand, 2016 ended with the highest average sales price on record since 2007.
Extreme Shortage of Inventory and Increased Demand are Driving Prices Up
In 2016, detached homes in ECV flew off the market in an average of only 37 days! This is the shortest market time since 2004, primarily because we had extremely low inventory compared to buyer demand.
Presently, there are only 70 houses on the market, and last year an average of 83 homes sold per month. This means that we currently have less than one month of inventory, which represents a very strong seller’s market. In 2016, we watched sellers set (and get) their ideal listing price because motivated buyers were moving to the area and competing for the limited supply of homes.
Mortgage Rates Are Rising!
Since the November 8th election, the average 30-year fixed rate mortgage increased by approximately 0.5%, to 4.13%. If rates continue to rise, buyers’ purchasing power will decrease, and they may no longer be able to afford such high sale prices.
So, if you are considering selling your home, now would be an excellent time to take advantage of this hot seller’s market. I have a track record of selling homes quickly for top dollar using a multi-faceted marketing and sales approach. If you want your home sold the right way for the most money, please give me a call to schedule a free consultation.
Hopefully, you enjoyed our 2016 Year In Review; please look out for the Q1 update in April. Have Happy New Year! 2017 is going to be great!
*Data from SANDICOR, Inc. for 1/1 2007 through 12/31/2016 and represents detached homes sold by various brokers 91913,91914,91915 (ECV). Data does not include “off market sales.” If your property is currently listed this is not meant as a solicitation