Is San Diego going through a real estate crash?
Some may say that people are not buying homes because they are too expensive. Others will say that interest rates are stupidly-too-high. Macro economic guys will say that we are in a recession, so run for the hills in panic!
See Full Report Here or Click Map
Let’s pump the brakes a little bit…shall we. Before I answer this basic but very big question, please click on the map and look at the data that I’m seeing. Basically, if we are in a real estate crash, you’ll see lots of homes just sitting on the market, disparately waiting for a buyer to give them a low-ball offer. But here is some data to chew on. As of March 2, 2023 in the east Chula Vista area (local focus of today) we have these stats to chew on:
March 2, 2023 real estate stats (zip codes 91913, 91914, 91915, and 91910 [newer than 1992]:
- Number of homes for sale = 2,022
- Number of homes in escrow = 2, 188
- Closed escrow in February 2023 = 320 (not needed, but interesting)
- Average “Days on Market”, aka waiting for a buyer = 30-ish days
So if we are truly in some sort of San Diego real estate crash, why are there MORE homes in escrow, than there are on the active market? Simply put, there are MORE BUYERS buying homes than sellers trying to sell their home. AND this is just one small area, with only a small 1-month view.
To add to this, if you click the map data, you might notice that most of the homes actually sold very fast. Like under 30 days fast. Most of these under 30 days marketing time homes were under $900k and under 2,100 square feet. THIS MEANS, the “starter home” market is hot hot hot!!! Some homes sold within 1 week because they had some awesome incentives, like a VA assumable loan for under 3% interest rate. But you can check it out from map.
Even homes that create challenges for buyers are selling. These are homes where there are renters in the home, or sellers want a super long escrow because they are waiting for their “replacement home.” Yes, some homes are overpriced, but they are not selling well. But the local news is NOT reporting this because they want to sell the panic, instead of reporting the boring truth that San Diego real estate is still, VERY HEALTHY.
If you wanna discuss or go look at some these properties in the area, just reach out to me on Facebook, Instagram, or just give me a text at 619-800-2619 and let’s go home shopping when the good homes are still out there.