Market Change in Costa Mesa Housing? – Summer is always thought to be the boom time for Costa Mesa housing, but as recent graphs and indicators show, the run up in Costa Mesa home prices may be nearing an end.
August is always an interesting time for a Realtor. It’s end of summer, and usually the uninformed public who want to sell their homes still think it’s a good time to put their house on the market to capture some of those looking for a home prior to school starting in September. Summer is busy for sure, but August has typically become a less active month for a lot of agents. Most “School” shoppers, those looking to make a move to a new home for a new school have figured out where they want to live and are typically shopping in the spring and close escrow in May, June, and July.
This August has been no different than the past few years with a couple of exceptions: Prices are way up, and inventory is finally starting to increase. I think lots of us in the industry think something has got to give, as I mentioned in my 2018 forecast for predictions on Costa Mesa real estate. Are we there yet? Let’s look at July’s numbers, our most recent set of data:CM JULY
So what I see is a bit concerning.
I see inventory up 25% in homes and up 65% in attached/condos. That’s a lot. What is a bit more concerning is that the pending sales category is down 45% and 48% in those same categories. That’s really concerning, and showing that this might be the sign that the market is about to correct itself. Sales prices were up though, as was the total closed sales number.
The months supply of inventory is now at 3.3 and 3.4 months for the detached homes and the condo categories. That is actually a fair, balanced number – one that would be welcome for the remainder of the year. But as I write this post, at the end of August, I think we will probably see numbers a bit higher in the August report.
Need to talk about your property? Contact expert Costa Mesa Realtor Colin Delaney @ 714.743.9882 call/text or via his email.