Welcome to San Diego Blog | June 5, 2020
Hotter Than Last Year!
Housing demand is surging and now the market is stronger than last year’s spring season.
San Diego County Housing Market Summary:
- The active listing inventory decreased by 208 homes in the past 2 weeks, down by 4% and now totals 5,122. In the past four weeks, 25% fewer homes were placed on the market compared to the prior 5- year average thus, COVID-19 is suppressing the inventory. It was 42% fewer four-weeks ago. Last year, there were 7,196 homes on the market, 2,074 more than today, or an extra 40%.
- Demand, the number of pending sales over the prior month, increased by 594 pending sales in the past two weeks, up to 23%, and now totals 3,123. It has grown by 69% in only 4 weeks. COVID-19’s effect on housing is rapidly diminishing. Last year, there were 3,255 pending sales, 4% more than today.
- The Expected Market Time for all of San Diego County decreased from 63 days to 49, a Hot Seller’s Market ( less than 60 days ). The drop was due to the surge in demand outpacing the rise in supply. It was 66 days last year, slower than today.
- For homes priced below $750,000 and $ 1 million, the expected market time is 48 days, a Hot Seller’s Market. This range represents 15% of demand.
- For homes priced between $1.25 million and $1.5 million, in the past two weeks, the Expected Market Time decreased from 104-94 days. For homes priced between $1.5 million and $2 million, the Expected Market Time decreased from 160 to 125 days. For luxury homes priced between $2 million and $4 million, the Expected Market Time decreased from 308 to 206 days. For luxury homes priced above $4 million, the Expected Market Time increased from 836 to 881 days.
- The luxury end, all homes above $1.26 million, accounts for 28% of the inventory and only 9% of demand.
- Distressed homes, both short sales, and foreclosures combined, made up of only 0.6% of all listings and 0.8% of demand. There are only 26 foreclosures and 6 short sales available to purchase today in all of San Diego County, 32 total distressed homes on the active market, down 12 from two weeks ago. Last year there were 55 total distressed homes on the market, a bit more than today.
- There were 2,253 closed residential resales in April, 32% fewer than April 2020 when there were 3,299 closed sales. April marked a 23% decline compared to March 2020. The sales to list price ratio was 98.9% for all of San Diego County. Foreclosures accounted for just 0.4% of all closed sales, and there were no closed short sales. That means that 99.6% of all sales were good old fashioned sellers with equity.