Monthly Market Overview North San Diego County October 2019

In October, mortgage rates increased slightly from the three-year lows seen in September. While the Federal Reserve reduced the federal-funds target rate by .25%, this decline was widely expected and largely factored into mortgage rates already, which are still approximately 1% lower than this time last year. Fannie Mae is predicting that continued low rates, and possibly lower rates, are expected in 2020.

  • Closed Sales increased 0.2 percent for Detached homes but decreased 5.1 percent for Attached homes.
  • Pending Sales increased 12.2 percent for Detached homes but decreased 4.1 percent for Attached homes.
  • The Median Sales Price was up 4.1 percent to $733,889 for Detached homes and 2.9 percent to $473,500 for Attached homes.
  • Days on Market decreased 2.6 percent for Detached homes but increased 3.2 percent for Attached homes.
  • Supply decreased 27.3 percent for Detached homes and 4.3 percent for Attached homes.

As we begin the slower time of year for home sales, historically low mortgage rates will continue to support buyer demand and may create additional lift to home prices as excellent affordability gives buyers the ability to offer more to secure their dream home. Throughout much of the country, the continued low level of housing inventory also continues to constrain sales activity from where it would likely be in a balanced market.

San Diego North County Monthly Housing Market Indicators October 2019. Listings, Sales, Days on Market and more.

Oct-19-Monthly

Monthly Market Overview North San Diego County September 2019

As the summer draws to a close, multiple opposing factors and trends are competing to define the direction of the real estate market. After the Federal Reserve lowered its benchmark interest rate on July 31, 30-year mortgage rates continued to decline, approaching all-time lows last seen in 2016. Yet most experts agree these reductions are unlikely to bring sufficient relief, at least in the short term, for first-time home buyers. The lack of affordable inventory and the persistence of historically high housing prices continue to affect the housing market,leading to lower-than-expected existing home sales at the national level.

  • Closed Sales decreased 7.3 percent for Detached homes and 8.1 percent for Attached homes.
  • Pending Sales increased 10.8 percent for Detached homes and 19.2 percent for Attached homes.
  • The Median Sales Price was down 2.7 percent to $720,000 for Detached homes and 1.2 percent to $447,500 for Attached homes.
  • Days on Market increased 2.8 percent for Detached homes and 26.9 percent for Attached homes.
  • Supply decreased 14.7 percent for Detached homes and 12.0 percent for Attached homes.

As many homeowners refinanced their homes to take advantage of declining interest rates, consumer confidence in housing was reported to be at historically high levels. Even so, real estate professionals will need to monitor the market for signs of continued imbalances. Although the inventory of affordable homes at this point remains largely stable, it is stable at historically low levels, which may continue to push prices higher and affect potential buyers across the U.S.

San Diego North County Monthly Housing Market Indicators September 2019. Listings, Sales, Days on Market and more.

Sep19-Monthly