Nate Womack
(925) 998-9449
DRE 01369153
(925) 998-9449
DRE 01369153
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Nate's Neighborhood Notes
A Look At The Numbers
C.A.R. 2013 Annual Housing Market Survey results
Nearly half (49.5 percent) of all homes sold in 2013 were sold above asking price, nearly twice the share in 2012 (25.9 percent) and triple the share in 2011 (16.6 percent). The 2013 figure was more than twice the long-run average of 18 percent during the past 20 years. For homes that sold above the list price in 2013, The shortage of housing supply intensified further this year, leading to heightened market competition and more multiple offers, with more than seven of 10 home sales (72 percent) receiving multiple offers in 2013, up from 57 percent in 2012. The 2013 figure was the highest in at least the past 15 years, with each home receiving an average of 5.7 offers, up from 4.2 offers in 2012 and 3.5 offers in 2011 The distressed market continued to be the most competitive segment of the market, with more than nine in 10 (91 percent) real estate-owned (REO) properties attracting multiple offers, an increase from 71 percent in 2012. The short sale market was less intense than the REO market, but still three quarters of all sales received more than one offer, a jump from 66 percent in 2012. Close to seven of 10 equity sales received multiple offers in 2013, a surge from 51 percent in 2012.
Other key findings from C.A.R.’s “2013 Annual Housing Market Survey” include:
• The share of all cash buyers decreased for the first time after seven years of continuous increase. More than a quarter of all home buyers paid with all cash in 2013, triple what it was in 2001, when the share was 8.8 percent. The share of all cash buyers continued to stay well above the long-run average of 15.1 percent since 1998.
• Overseas buyers were increasingly interested in owning property in California. The share of international buyers rose for the third year in a row, up from 5.8 percent of total sales in 2012 and 5.7 percent in 2011 to 8 percent in 2013. More than half (57%) of all international buyers bought the property as a primary residence, while almost one-third (31%) of them purchased the property as an investment. Buyers from China, Mexico, and Canada made up the vast majority of international buyers at 34 percent, 15 percent, and 10 percent, respectively.
• Investors were very active in California’s housing market, creating high demand for investment properties during the first half of 2013. Nineteen percent of total sales went to investors in 2013 compared to 16 percent in 2012. The demand for investment properties has grown significantly since 2000 as many bargain properties became available during the housing downturn. At the beginning of the past decade, the share of sales pertaining to investment home buyers was only 7 percent, but has nearly tripled since then.
• As investors and first-time buyers competed intensely for lower-priced properties, the share of first-time buyers fell again in 2013 to 28 percent, after inching up slightly to 36 percent in 2012 and was well below the long-run average of 38 percent. It was the third decline in the last four years since the share of first-time buyers peaked at 47 percent in 2009, when home buyer tax credits fueled the demand for entry-level homes.
• Bargain hunting investors competed directly with first-time buyers looking for more affordable homes in the distressed market. More than a third of all properties (34 percent) purchased by investors were either short sales or REO/foreclosures.
Equity home sales post higher in September; seasonal factors slow California pending sales
The share of equity home sales in California continued to grow in September, now making up more than eight of every 10 home sales, the highest level in nearly six years. Meanwhile, the share of short sales fell into the single digits and dropped to levels not seen since January 2009, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported today.
Distressed housing market data:
• The share of equity sales - or non-distressed property sales - rose again for the 10th straight month, making up more than eight in 10 sales, the highest share since November 2007. The share of equity sales in September increased to 85.8 percent, up from 84.7 percent in August. Equity sales made up 62.7 percent of sales in September 2012.
• Conversely, the combined share of all distressed property sales continued to decline in September, dropping to 14.2 percent in September, down from 15.3 percent in August and down sharply from 37.3 percent in September 2012. Twenty-six of the 38 reported counties showed a month-to-month decrease in the share of distressed sales, with San Diego, San Mateo, and Santa Clara tied for the lowest share at 4 percent.
• Of the distressed properties, the share of short sales, at 9.4 percent, fell to the lowest point since January 2009. September’s figure was down from 10.2 percent in August and was nearly a third of what it was a year ago, when short sales made up 24.3 percent of all sales. The continuing decline in short sales indicates more previously underwater homes are moving into positive equity as home prices are bolstered.
• The share of REO sales also continued to fall, dropping to single-digits for the sixth straight month. REOs made up only 4.3 percent of all sales in September, down from 4.7 percent in August and from 12.5 percent in September 2012. The September 2013 figure was the lowest since August 2007.
• Housing inventory levels improved for the fifth straight month but remained low. The Unsold Inventory Index for equity sales inched up from 3.1 months in August to 3.5 months in September. The supply of REOs edged up from 2.3 months in August to 2.7 months in September, and the supply of short sales rose from 2.3 months in August to 3.8 months in September.
Locally, there are now 5 single family homes under $600,000 up from just the one at the release of last months newsletter. Although the number has increased, inventory is still low. This is typically the slowest time of the year, but things usually start to pick up within the next month. If you are thinking about selling, I would be happy to assist you in figuring out a good selling price and finding a Buyer. Call me and make an appointment today.
As of November 6, 2013, there were 67 total units (detached homes, condominiums, and townhomes) available for sale in the Dublin market. 30 of those total listings are either condos or townhomes and 119 homes were still pending on that date. Inventory is at 1.03 months, which is still a sign of a Seller’s market, but keep in mind that inventory varies within neighborhoods in the city.
C.A.R. 2013 Annual Housing Market Survey results
Nearly half (49.5 percent) of all homes sold in 2013 were sold above asking price, nearly twice the share in 2012 (25.9 percent) and triple the share in 2011 (16.6 percent). The 2013 figure was more than twice the long-run average of 18 percent during the past 20 years. For homes that sold above the list price in 2013, The shortage of housing supply intensified further this year, leading to heightened market competition and more multiple offers, with more than seven of 10 home sales (72 percent) receiving multiple offers in 2013, up from 57 percent in 2012. The 2013 figure was the highest in at least the past 15 years, with each home receiving an average of 5.7 offers, up from 4.2 offers in 2012 and 3.5 offers in 2011 The distressed market continued to be the most competitive segment of the market, with more than nine in 10 (91 percent) real estate-owned (REO) properties attracting multiple offers, an increase from 71 percent in 2012. The short sale market was less intense than the REO market, but still three quarters of all sales received more than one offer, a jump from 66 percent in 2012. Close to seven of 10 equity sales received multiple offers in 2013, a surge from 51 percent in 2012.
Other key findings from C.A.R.’s “2013 Annual Housing Market Survey” include:
• The share of all cash buyers decreased for the first time after seven years of continuous increase. More than a quarter of all home buyers paid with all cash in 2013, triple what it was in 2001, when the share was 8.8 percent. The share of all cash buyers continued to stay well above the long-run average of 15.1 percent since 1998.
• Overseas buyers were increasingly interested in owning property in California. The share of international buyers rose for the third year in a row, up from 5.8 percent of total sales in 2012 and 5.7 percent in 2011 to 8 percent in 2013. More than half (57%) of all international buyers bought the property as a primary residence, while almost one-third (31%) of them purchased the property as an investment. Buyers from China, Mexico, and Canada made up the vast majority of international buyers at 34 percent, 15 percent, and 10 percent, respectively.
• Investors were very active in California’s housing market, creating high demand for investment properties during the first half of 2013. Nineteen percent of total sales went to investors in 2013 compared to 16 percent in 2012. The demand for investment properties has grown significantly since 2000 as many bargain properties became available during the housing downturn. At the beginning of the past decade, the share of sales pertaining to investment home buyers was only 7 percent, but has nearly tripled since then.
• As investors and first-time buyers competed intensely for lower-priced properties, the share of first-time buyers fell again in 2013 to 28 percent, after inching up slightly to 36 percent in 2012 and was well below the long-run average of 38 percent. It was the third decline in the last four years since the share of first-time buyers peaked at 47 percent in 2009, when home buyer tax credits fueled the demand for entry-level homes.
• Bargain hunting investors competed directly with first-time buyers looking for more affordable homes in the distressed market. More than a third of all properties (34 percent) purchased by investors were either short sales or REO/foreclosures.
Equity home sales post higher in September; seasonal factors slow California pending sales
The share of equity home sales in California continued to grow in September, now making up more than eight of every 10 home sales, the highest level in nearly six years. Meanwhile, the share of short sales fell into the single digits and dropped to levels not seen since January 2009, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported today.
Distressed housing market data:
• The share of equity sales - or non-distressed property sales - rose again for the 10th straight month, making up more than eight in 10 sales, the highest share since November 2007. The share of equity sales in September increased to 85.8 percent, up from 84.7 percent in August. Equity sales made up 62.7 percent of sales in September 2012.
• Conversely, the combined share of all distressed property sales continued to decline in September, dropping to 14.2 percent in September, down from 15.3 percent in August and down sharply from 37.3 percent in September 2012. Twenty-six of the 38 reported counties showed a month-to-month decrease in the share of distressed sales, with San Diego, San Mateo, and Santa Clara tied for the lowest share at 4 percent.
• Of the distressed properties, the share of short sales, at 9.4 percent, fell to the lowest point since January 2009. September’s figure was down from 10.2 percent in August and was nearly a third of what it was a year ago, when short sales made up 24.3 percent of all sales. The continuing decline in short sales indicates more previously underwater homes are moving into positive equity as home prices are bolstered.
• The share of REO sales also continued to fall, dropping to single-digits for the sixth straight month. REOs made up only 4.3 percent of all sales in September, down from 4.7 percent in August and from 12.5 percent in September 2012. The September 2013 figure was the lowest since August 2007.
• Housing inventory levels improved for the fifth straight month but remained low. The Unsold Inventory Index for equity sales inched up from 3.1 months in August to 3.5 months in September. The supply of REOs edged up from 2.3 months in August to 2.7 months in September, and the supply of short sales rose from 2.3 months in August to 3.8 months in September.
Locally, there are now 5 single family homes under $600,000 up from just the one at the release of last months newsletter. Although the number has increased, inventory is still low. This is typically the slowest time of the year, but things usually start to pick up within the next month. If you are thinking about selling, I would be happy to assist you in figuring out a good selling price and finding a Buyer. Call me and make an appointment today.
As of November 6, 2013, there were 67 total units (detached homes, condominiums, and townhomes) available for sale in the Dublin market. 30 of those total listings are either condos or townhomes and 119 homes were still pending on that date. Inventory is at 1.03 months, which is still a sign of a Seller’s market, but keep in mind that inventory varies within neighborhoods in the city.
If you would like further assistance of either purchasing or selling your home please feel free to contact me using the form on the contact page. Also, I do have additional information and documentation that is not up on the website. I would be happy to assist you in answering you real estate questions. If you prefer email, you can email me at info@Homes-Dublin.com
November 2013