Obviously the past decade has presented more than a fair share of challenges for real estate markets. From the unprecedented real estate boom of 2004-2006 to the inevitable subsequent crash and the more recent tepid recovery of the past couple of years, it is more reflective of a roller coaster ride than a normal business cycle.
Perhaps the most critical aspect of this mercurial market is due to lending practices. Not too many years ago money was flowing freely in creative packaging instruments more representative of a payday loan scheme. Today, despite historically low interest rates, getting money from lenders even for the highly qualified borrowers requires running a gauntlet and the patience of a saint.
The current results here in Orange County seem to be representative of most markets nationwide; some good news, but most data indicate that the market is still struggling to recover. In the month of July, according to RBI statistics the dollar value of homes sold was down nearly 20%, but the median sold price was up by over 16%. Unfortunately the days on the market increased slightly from a year ago to an average of 144 days, but the ratio of average price sold to average original listing price improved to 92.3% which was an increase from the 78.5% in July 2012.
From anecdotal accounts the market seemed to be rather brisk in some parts of the Orange County area in August. Stay tuned for the next update from www.pennyohomes.com for the statistics from August which will be updated as soon as they are available.
Remember for all of your real estate needs call the Ostlund Team, and allow us to share our synergy of teamwork to help you achieve your real estate goals. The OstlundTeam will work “OverTime” for you! Call Penny at 540.903.9372 or Charlie at 540.903.7796