Santa Barbara Real Estate – August 2017
We are always mindful to pay attention to questions people are asking. One question that comes up often is, where is the housing market headed? Are we at the top of the market? Is it going to keep going up? That is a good question, and one that we continue to ponder.
Thinking back, we are mindful that some people saw indications in the market last time that caused concern prior to the market down turn. The single biggest difference so far this time is, if you want to purchase a home and you need a loan, you have to put your money into the deal – no more 100% financing. What do you see in the market this time? Is it sustainable? If you have a thought, we would love to hear it.
One interesting fact that we noticed this month is that the combined median price for homes and condos is almost equal to that of the peak in 2006, though the average is significantly lower. At the same time it seems like everything costs more than it did in 2006.
So if you have some thoughts we would love to hear them, in particular we would love to hear the WHY?
Regarding where we are today, the market remains very active. We continue to have more buyers than sellers. Total sales for the year currently appear on course to outpace 2016. We are experiencing active open houses, and many buyers are still looking for homes.
Year to date the median home and condo price has continued to increase.
2017 increased 5% over 2016
2016 increased 7.8% over 2015
Interestingly, the average sales price has barely moved over the past three years – staying a little under $1.5M, but the percentage of sales over $1.5M has grown.
In 2015 24.2% of sales were above $1.5M
In 2016 27.1% of sales were above $1.5M
In 2017 30.3% of sales were above $1.5M
So what is happening? We are experiencing fewer sales above $7M.
August Market Highlights
August ’17 Highest Sale
1240 E Valley Rd
6 BD / 10 BA / $7.175.000
August ’17 Lowest Home Sale
1205 Blanchard St
3 BD / 1 BA / $540.000
4932 7th Street
Quintessential Carp Beach Bungalows
2Units / downtown / $989,000
2209 Vista Del Campo
Contemporary City & Mountain Views
4 BD / 2.5 BA / $1.295.000
1220 Franciscan Ct #2
2 BD / 1 BA / $474.900
4217 Via Marcina
Carpinteria 1960’s Ranch
4 BD / 2 BA / $849.000