by Scot Campbell 10/28/2012 – Source: ReportsOnHousing
In Huntington Beach there are now just 231 homes currently on the market. In the last 30 days, 205 homes went into escrow; therefore, there is currently a 1.13 months supply of homes on the market.
One year ago, there was a 3.7 months supply, and two years ago there was a 4.74 months supply. The average list price of a home currently listed in Huntington Beach is $931,000.
The number of homes for sale in Orange County is once again down and at levels not previously measured… we are in uncharted territory.
Active Inventory: The record low inventory is approaching 4,000 homes.
In all of Orange County, the active inventory is knocking on an incomprehensible level never seen before. It is knocking loudly on the door of 4,000 homes. Within the past two weeks alone, it shed an additional 156 homes, 4%, and now totals 4,043. The third most populous county in California, home to over 3 million people, has only a few thousand homes on the market. The housing diet started in June of last year, dropping continuously and shedding 64% of the inventory in that time.
Last year at this time there were 9,875 homes on the market, well over double the current inventory. The active inventory stood at 8,114 homes at the beginning of the year, more than double today’s historical low.
Demand: Demand continued to drop along with the anemic inventory.
Understandably, blaming a drop in demand on the low inventory sounds counterintuitive, but it is completely valid in this case. Ask every REALTOR® with pockets filled with willing and able buyers, unable to purchase thus far because there is nothing to show their buyers. When something does pop onto the market, good luck on finding parking to see the home! In the past month, 11% fewer homes were placed on the market compared to last year at this time. This year interest rates are much better and buyers are finally convinced that it is a good time to buy. Even with fewer homes being placed on the market, demand is till 10% stronger than last year. Currently, demand, the number of new pending sales over the prior month, dropped by 3% in the past two weeks, or 110 pending sales, and now totals 3,145. Demand is slowly dropping in conjunction with fewer homes listed for sale.
The Distressed Market: The distressed market has not stopped dropping since one year ago.
The distressed market has dropped, unabated since the end of October last year, when it totaled 3,563. It has plummeted by an astonishing 87%.
The distressed inventory has not been this low since May 2007.
It currently represents just 13% of the total active inventory and 35% of demand. Last year it represented 36% of the inventory and 54% of demand. This is a definitive sign that the Orange County housing market is recovering.
In the past two weeks, the foreclosure inventory decreased by 10 homes, totaling 128, and has an expected market time of 21 days. The short sale inventory decreased by 21 homes in the past two weeks and now totals 404. The expected market time is only 13 days and continues to be the hottest segment of the housing market.
For questions about buying and selling real estate in Orange County, contact Scot Campbell. He is the President of The Scot Campbell TEAM at Coldwell Banker-Campbell Realtors in Huntington Beach, CA.
He has been a licensed broker for over 21 years and has brokered over 1000 homes and just about every type of transaction imaginable.
Read his profile and client reviews at www.ScotCampbell.com
He can be reached at 714-960-0700 at the office, 714-336-0394 on his mobile number or via email at Scot.Campbell@ColdwellBanker.com