Where does our San Diego County real estate market stand as we move through May 2021? As always, let’s look to the leading indicators:
What does all this mean? If you’ve been keeping up with my monthly market updates, you know that I’ve been saying we’ll start to see some big statistical changes compared to last year. Last May, people were unsure of whether to buy or sell because we were in the thick of the pandemic, and there was a lot we didn’t know. There will be fewer homes coming on the market and fewer coming off compared to last year.
We can’t really pay too much attention to these numbers, though, because as I said, last year at this time was when everything hit the bricks. What really stands out to me is the fact that we’ve had more listings come on the market than have come off in the last 30 days. Does that mean we’ll see inventory climb in the next few months? If this trend continues, yes it will. This means buyers will have more options and sellers could see fewer showings and (possibly) fewer offers. Supply has to go up pretty significantly for us to see any real impact, but this may be the first sign that things are changing.
Prices have risen tremendously. If you’re thinking about buying, the most important thing to consider (like always) is interest rates. They’re the one thing that will either save you or cost you a ton of money over time. Now is the time to connect with a real estate agent and plan your timeline. If you were to tell me you wanted to buy now and sell in two or three years, I’d tell you that’s probably not the best idea. If you want to do that anyway, at least make sure that property can pay for itself, meaning you can rent it out if things change in the market. If you want to buy a house you plan on living in for the next seven to 10 years, that’s a different story.
If you’re a seller, although we’re still seeing great prices, we’re also seeing showing requests decline county-wide. It’s too early to tell what this means long term, so stay tuned and I’ll make sure to keep you up to speed on the latest inventory numbers.
If you have questions about these statistics or there’s anything else I can help you with, don’t hesitate to reach out to me. I’d love to hear from you.