Twinkle lights. Strains of holiday music floating on crisp evening air. Letters to Santa and lighting the menorah. Peppermint bark, latkes, and home-cooked comfort food enjoyed in the company of beloved family and friends. Whether you’re celebrating Christmas or Hanukkah (or both!), the holiday season is truly one of the most joyful times in America’s Finest City.
The holidays are a calmer period in San Diego real estate, as more people opt to spend time with family rather than listing or purchasing homes. However, the market data is no less impactful as it paints a picture of where the market is currently at and what we can expect in 2023.
Last month, the median sales price for a single-family home was $884,000. That’s an increase of 2.8% from last year at this time. Meanwhile, inventory has grown 42.3% since last September a staggering change that represents the new normal for San Diego real estate! Less buyers mean less competition and more homes for sale. The data for condos and townhomes tells a similar story. The median sales price in San Diego County is $616,000, up 9.7% from last year. Inventory in the condo and townhome market has grown 45.1% since last September!
For home buyers, this is truly the best time to buy in recent years! Rising interest rates are keeping some buyers on the sidelines, creating more opportunity to browse homes and find your dream property without the pressure of a multiple-offer scenario. Additionally, while home prices may be up year-over-year, on a month-over-month basis we’re seeing an increase in price reductions and a slowdown in the overall rate of home price appreciation. Unsure about locking in a loan now at today’s current mortgage interest rates? Experts predict that interest rates will drop during the second half 2023, which will be the perfect time to refinance. Finally, many sellers are willing to extend assistance across the table in the form of help with closing costs, rate buy-downs, and repairs. All items that most sellers just weren’t willing to consider even six months ago.
For homeowners and prospective sellers, it is still a phenomenal time to list! Home price growth may be slowing, but home prices show significant strength when compared to last year at this time. Notably, I have helped many sellers close at record-breaking prices in recent months. I have strategies to achieve your target sale price that don’t involve cutting into your equity. Buyers who home shop during the holiday season are among the most serious of prospects. In today’s market, savvy buyers are seeking to purchase a home now – before rates rise again. Skillful negotiations can lead to win-win solutions for all parties.
Overall, the outlook for the 2023 San Diego housing market remains incredibly positive. I am confident that buyers and sellers who can see the opportunities available in today’s market will reap the rewards. Thinking of selling or buying yourself, but unsure when you should make your move? I am committed to delivering first-class service, true advocacy, and above all, results, for my trusted clients. Please reach out for a personalized and confidential consultation to discuss your unique situation and goals.
