Welcome to San Diego Blog | October 28, 2013

92101 Condo Market Update

While the downtown San Diego condo market raged through the spring and summer, things have settled some in the past 2 months.  Nonetheless, we still look to be on track for a  really great year in terms of appreciation and number of sales.  When looking at the trends in our market, we use market absorption rates where we look at the number of properties available and figure out how much supply we have in the marketplace.   A 6 month supply is said to be a balanced market; less inventory would create a seller’s market and a surplus would create a buyer’s market.

Downtown San Diego Condo Update

For properties in the $1,000,000 and greater range, we have an average of a 6.83 months supply which says this market segment is fairly balanced.  The 3 month trend shows us that we have e 7.4 months supply of luxury condos in this category so it appears that the inventory is growing and the market may be slowing to some degree.  One could call it a seasonal adjustment, but the fact is that the fourth quarter for the last few years has been very busy regarding property sales so this slow down is  not typical.

For properties downtown San Diego priced between $750,000 and $1m, we see only a 4 month supply which suggests it is still a seller’s market.  The three month trend indicates that inventory is continuing to drop to a 3.5 months supply so the market is still quite strong in this price range.  Properties with views or exceptional floor-plans go quite quick in this market.

Price Range
 $150,000-$299,999 Closed Sales in the past: 12 month 6 months 3 months
Number of Homes Sold 236 101 47
Average # Homes Sold per Month 19.67 16.83 15.67
Current Homes Active on Market 14 14 14
Months of Supply 0.71 0.83 0.89
Days of Supply 21 25 27
 $300,000-$449,900 Closed Sales in the past: 12 month 6 months 3 months
Number of Homes Sold 289 143 77
Average # Homes Sold per Month 24.08 23.83 25.67
Current Homes Active on Market 53 53 53
Months of Supply 2.20 2.22 2.06
Days of Supply 66 67 62
 $450,000-$599,999 Closed Sales in the past: 12 month 6 months 3 months
Number of Homes Sold 179 88 46
Average # Homes Sold per Month 14.92 14.67 15.33
Current Homes Active on Market 41 41 41
Months of Supply 2.75 2.80 2.67
Days of Supply 82 84 80
 $600,000-$749,999 Closed Sales in the past: 12 month 6 months 3 months
Number of Homes Sold 111 58 34
Average # Homes Sold per Month 9.25 9.67 11.33
Current Homes Active on Market 25 25 25
Months of Supply 2.70 2.59 2.21
Days of Supply 81 78 66
 $750,000-$1m Closed Sales in the past: 12 month 6 months 3 months
Number of Homes Sold 63 35 18
Average # Homes Sold per Month 5.25 5.83 6.00
Current Homes Active on Market 21 21 21
Months of Supply 4.00 3.60 3.50
Days of Supply 120 108 105
 > $1m Closed Sales in the past: 12 month 6 months 3 months
Number of Homes Sold 65 35 15
Average # Homes Sold per Month 5.42 5.83 5.00
Current Homes Active on Market 37 37 37
Months of Supply 6.83 6.34 7.40
Days of Supply 205 190 222
* All data is deemed to be reliable, but is not guaranteed.  Data pulled directly from Sandicor MLS
* data pulled 10/25/2013

For properties between $300,000 and $749,999, you can see that we have about a 2.5 months supply of downtown San Diego condos.  This is really the market segment that shows we are in a strong sellers market.  The three month trend suggests that this market segment continues to be more and more competitive with the inventory dropping to a 2.25 month supply.  This can make shopping for buyers a tough job!

For properties in the $150,000 to $299,999, there is not even a 1 month supply of inventory!  This segment will become extinct before too long, but right now it’s an all out feeding frenzy for most properties that are priced to market and in good locations.

If you are considering buying or selling a condo, we would be happy to help you navigate the Downtown San Diego real estate market.  Dannecker & Associates are a group of real estate professionals that specialize in properties in Downtown San Diego.  Give us a call because expert representation matters!  619-356-3099


Written by: chad

Categories: Absorption Rates, Downtown San Diego, Real Estate Investment, San Diego Condos, San Diego Real Estate

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