Why Buyers are Moving
There has been a lot of market activity in Costa Mesa this year, and we are currently trending along the same sales volume as we did in 2006 for total homes sold. As a reminder, 2006 was the peak of the last boom that was fueled by poorly supported loans and cheap money.
Today we still have cheap money – cheaper interest rates than we did back in 2006. Currently we are at about 4.0% for a 30 year fixed loan in Costa Mesa real estate circles. But the loans are certainly better supported and are heavily scrutinized unlike in 2006.
Cheap Cheap Cheap?
The perceived price reductions with the market since 2006 have certainly helped. I say “perceived” because certain neighborhoods are right back near where they were at the top of the price spectrum in 2006. Mesa Verde’s state streets for instance has had a couple sales in the lower $700,000 range which is only 5-10% below it’s peak.
Priced to Sell?
Prices in other Costa Mesa real estate neighborhoods are a good bit lower though. The westside of Costa mesa and the condo market is considerably lower than it was in 2006.
Top 5 Reasons For Buying Real Estate in Costa Mesa 2013
I think the best thing going are the favorable interest rates- lots of people have refinanced their homes and/or moved within Costa Mesa real estate. It’s been an amazing time to move up into a larger home or downsize to a smaller one, all while taking advantage of the interest rates and the spring’s seller’s market.
And as I have written about in the past, there are lots of investors who are purchasing Costa Mesa real estate. Either as a buy and hold investment, or buying fixers and turning them into shiny new homes for resale.
Lots of good reasons to buy right now, even with the interest rates being a bit higher than they were.
Need help in Costa Mesa? Feel free to call Colin at 714-743-9882 or E-mail me. I have great lenders that I work with for every Costa Mesa real estate situation you might need too!