Interesting Statistics ~ Worth Having a Look, Especially You First-Time Homebuyers!

Under $1M million market (South Coast, not Hope Ranch or Montecito):

Year to Date Numbers as of 6/16/09

Homes/SFR
# New Listings:
'09 YTD: 324
'08 YTD: 325

The inventory is staying at the same level & not building.

# Under Contract
'09 YTD: 247
'08 YTD: 165

49% Increase Year Over Year

Condos
# New Listings:
'09 YTD: 252
'08 YTD: 314

19% decline

# Under Contract
'09 YTD: 163
'08 YTD: 105

55% increase Year Over Year

Supply is flat or declining .. Demand is climbing ... Price increases will follow ..

The key with our market is that buyers are benefiting from this "perfect storm" of a buyer's market - low interest rates combined with reduced prices and motivated, (some "distressed") sellers. These two components combine to provide a low monthly mortgage payment, and this has caused the affordability factor to increase sharply. Interest rates would only have to increase slightly and the home buyers' monthly payment could jump up by several hundred dollars per month.

The other factors that buyers should understand are:
With inflation almost certainly in our future, owning real estate is a great place to be - Historical data shows us that South coast real estate has doubled or better every 10 yrs. since the 1960s.

The same benefits of home ownership remain constant:
Ability to deduct mortgage interest from income taxes (not true for rent), the forced savings aspect of home ownership, (vs. paying off your landlord's mortgage for him/her) & just as important ... the satisfaction that comes from owning your own home ... & not having to worry that your landlord is keeping current with his mortgage ...

Thanks to Jackie Walters for putting this together & keeping the Village agents up to date with great statistics!