San Diego County Residential Real Estate Market Analysis – Part 2
This is the 2nd. of a three part article By Mark A. Melikian California Certified Residential Appraiser appraisals@san.rr.com
Market Specifics – 2nd Quarter 2008 compared to 2nd Quarter 2009: Detached home sales data for the second quarter of 2008 shows the highest number of sales in the $300,000-$400,000 price range (see figure 5). During the second quarter of 2009 we see both an increase in the number sold and a shift in market activity with the highest number of sales now in the $200,000-$300,000 price range. Further analysis shows fewer current listings than sales through the $500,000-$600,000 price range. The 2nd quarter data is consistent with the Market Overview data which shows an increase in the number of sold listings and a continued reduction in the mean sales price in San Diego County.
figure5
Attached homes sales data for the second quarter of 2008 shows the highest number of sales in the $200,000-$300,000 price range (see figure 6). During the second quarter of 2009 we see both an increase in the number sold and a shift in market activity with the highest number of sales now in the under $200,000 price range. Further analysis shows fewer current listings than sales through the $300,000-$400,000 price range. The 2nd quarter data is consistent with the Market Overview data which shows an increase in the number of sold listings and a continued reduction in the mean sales price in San Diego County.
figure6
Normal residential real estate markets typically have a six to seven month supply of housing inventory. Current supply levels, based on 2nd quarter absorption rates only, for detached properties are at or below normal market levels up to the $900,000 plus price ranges (see figure 7). Current supply levels for attached properties are at or below normal market levels up to the $700,000 plus price ranges. Whether this is a signal that some degree of recovery is imminent in these price ranges will continue to be analyzed in subsequent reports.
figure 7
*See the next part of this post tomorrow.