March Madness Continues into April!
No End to the Upward Trend!
In the month of April, after an early Easter, we see a continuation of a trend established months ago.
Our March newsletter can be replayed as some sports fans do when they TiVo the game to view when free.
The College Basketball season is at the Final Four and the local Real Estate market has reached a fever pitch as well.
New Homes Sales Offices in Irvine are expecting price increases of 1%+ per month with each new phase (one phase per month) which translates to over 6% increase over the next six months!
The local Real Estate Market is already up 4% year-to-date which translates into over a 10% annual growth projection. As recently as three months ago, the Irvine Company expected 41/2% to 6% growth for the entire year. The price appreciation would double what was predicted, and, with the 20% growth in prices in calendar year 2012 locally, the 30% appreciation would be completely unpredicted, unexpected and match 2004-2005 run up in prices.
What can we expect?
However, this year is different. The Sellers continue to be on Spring break and have largely left town with little activity with the potential Buyers left to play by themselves, shooting hoops in a basket, retrieving the ball and hoping that a Seller will appear ready to take the ball.
The Real Estate Market here in Irvine is continues as tight as it has ever been with few homes coming on the Market at what appears to be overly optimistic prices, only to have multiple offers and prices being bid up feverishly.
We expect the current mayhem to continue for the next several months as potential Sellers attempt to get their “house in order,” and determine where they might move if they offered their home for sale.
As the new homes market gears up to accommodate the demand, we would expect the supply to start to satisfy more existing homeowners, as well as new homeowners and would expect the appreciation of prices to slow as we enter the summer months.
As of April 1st, we have 188 active listings, and 369 homes in escrow here in Irvine. In all of Orange County, there were approximately 3,000 homes for sale at the end of March–down from over 9,000 a year ago. In our local market we have price appreciation as high as 20% year over year in most of our neighborhoods.
We are including ourFREE market report, so that you may keep abreast of the conditions impacting your local neighborhood as we enter into a new cyclical upswing of prices in Irvine. We believe our city is a unique real estate environment. While macro economic conditions impact our local housing market, we cannot and should not rely solely on National and Countywide news sources for our local housing trends. These broader housing statistics do not accurately reflect what is happening in your local neighborhood. While the nation had 4% growth year-over-year, according to the Case-Shiller Index, we had 20% growth.
Our monthly reports track your neighborhood’s inventory, median price, price per square foot, median sales price, average days on market and more. Our market reports are updated regularly, and are FREE to you, so that you can stay “ahead of the curve” as to the direction in which the housing market is heading throughout the year and at absolutely no risk.
We hope you find the market summary useful. If you do not wish to receive these reports, feel free to unsubscribe. Our intention is not to “spam” you–only to provide you with informative, helpful market data.
If you are interested in specific communities, zip codes, neighborhoods, please do not hesitate to e-mail us. We would be happy to provide you with the Market Reports of your choice. We will be following up with you soon.
We are grateful for your confidence is us, and supporting our business with your friendship and referrals.
As a way of saying “Thank You,” we are offering to you, our friends, a significant loyalty referral when you or a friend Buys or Sells a property using our services during the 2013 calendar year. Please do not hesitate to contact us for the specifics of the program.
Cheers and best wishes for a bountiful Spring from our home and hearth to yours.
Robin and Eric Fenchel (DRE#00936248/DRE#01223072)