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 August 2019. Listings, Sales, Days on Market and more broken out by zip code.
Beginning in the late 19th century, as the trade union and labor movements grew, trade unionists proposed that a day be set aside to celebrate labor. “Labor Day” was promoted by the Central Labor Union and the Knights of Labor, which organized the first parade in New York City. Through the years the nation gave increasing emphasis to Labor Day. The first governmental recognition came through municipal ordinances passed during 1885 and 1886. From these, a movement developed to secure state legislation. The first state bill was introduced into the New York legislature, but the first to become law was passed by Oregon on February 21, 1887. During the year four more states — Colorado, Massachusetts, New Jersey, and New York — created the Labor Day holiday by legislative enactment. By the end of the decade Connecticut, Nebraska, and Pennsylvania had followed suit. By 1894, 23 other states had adopted the holiday in honor of workers, and on June 28 of that year, Congress passed an act making the first Monday in September of each year a legal holiday in the District of Columbia and the territories.
An enterprising agent named Dylan Jaeck wanted everyone to check out the smokin’ deal he had on sale—an empty lot in Florida where a home had burned to the ground.
So instead of the customary shots of the vacant lot and its location, he used photos from the actual house fire. And the internet took notice, making it this week’s most popular property on realtor.com®.
Jaeck told us that his blazingly brilliant idea worked as he had expected it would, and now the property is under contract for close to the asking price.
Here are just a couple of the social media reactions to the photos:
The preparation of a counteroffer allows you as the seller and your agent to take control of negotiations after a prospective buyer submits a purchase offer. Your agent, on receiving a prospective buyer’s offer, will review with you:
The terms offered and contingency provisions — conditions — which affect closing;
The likely net sales proceeds the offer will generate; and
Their knowledge about the profit tax liability you will likely incur on the sale when the property is not your primary residence.
A counteroffer is made when the terms and conditions of the buyer’s offer are for any reason unacceptable without a change. Your agent prepares your written counteroffer and reviews it with you before you sign it and your agent submits it to the buyer. Your signed counteroffer documents your intent to be bound by your offer to sell when the buyer accepts.
To counter a buyer’s unacceptable purchase offer, your agent may recommend that they:
Prepare your counteroffer on a new purchase agreement form;
Prepare your counteroffer on a counteroffer form;
Dictate escrow instructions based on terms and conditions orally negotiated with the buyer (or buyer’s agent);
Set up an auction environment by calling for the submission of all “best and final” offers in a multiple-offer situation; or
Orally advise the buyer’s agent about the changes they need to make before you will accept the buyer’s offer.
The buyer may agree to purchase your property on the terms stated in your counteroffer by merely signing the counteroffer and delivering it as accepted, or submit a counteroffer back to you for
There is a tug of war in the financial markets between weaker business sentiment and consumer sentiment. Business sentiment is declining on negative trade and manufacturing headlines, but consumer sentiment remains buoyed by a strong labor market and low rates that will continue to drive home sales into the fall.
In July, the U.S. economic expansion that began in June 2009 became the longest in the nation’s history, marking 121 straight months of gross domestic product growth and surpassing the 120-month expansion from 1991 to 2001. The average rate of growth during this expansion has been a milder 2.3 percent per year compared to 3.6 percent during the 1990s. Although the economy should continue to perform well for the rest of 2019, most economists see a mild recession on the horizon.
Closed Sales decreased 1.4 percent for Detached homes but increased 2.8 percent for Attached homes.
Pending Sales increased 10.4 percent for Detached homes and 11.9 percent for Attached homes.
The Median Sales Price was down 3.9 percent to $720,000 for Detached homes and 1.7 percent to $470,000 for Attached homes.
Days on Market decreased 3.0 percent for Detached homes but increased 25.0 percent for Attached homes.
Supply decreased 6.3 percent for Detached homes but remained flat for Attached homes.
During the record-setting 121-month economic expansion, the unemployment rate has dropped from 10.0 percent in 2009 to 3.7 percent, yet many consumers continue to struggle financially.
Low mortgage interest rates have helped offset low housing affordability, but high home prices are outpacing median household income growth.
In a move to stoke continued economic prosperity, the Federal Reserve reduced the benchmark interest rate by a quarter point to about 2.25 percent, marking the first reduction in more than a decade.
San Diego North County Monthly Housing Market Indicators July 2019. Listings, Sales, Days on Market and more broken out by zip code.