Lots of economic indicators left “in the air” as we near the end of 2015 gives pause to speculation about the real estate market.
As we hurtle toward the final month of 2015, we’re seeing some interesting signs in the Santa Clarita real estate market. Interest rates, while still very low, have inched just above 4 percent, and housing prices for both condos and single family homes have leveled off.
That being said, it’s not unusual for housing prices to dip slightly in the final quarter of the year, with the summer buying season behind us and the holidays just ahead. The question still remains, however: Have Santa Clarita home prices reached their peak?
To be clear, prices have only dipped slightly between September and October of this year. The median price of a single family home still holds firm at the half million dollar mark, and condos are averaging prices in the low $300,000’s. We’re nowhere near the peak we achieved in the Spring of 2006, when single family home prices averaged $643,000 before they began to fall at the outset of the recession which began a year later.
What’s in store for the end of the year?
As we near December, economists and analysts are holding their breath as they await word from the Federal Reserve as to the fate of interest rates. Will they raise rates in accordance with national economic growth that has been achieved during the final fiscal quarter, or will they continue to hold off as worldwide events trigger fears of more international economic instability?
Should I be concerned about the slight drop in home prices?
Standard home sales still dominate the landscape here in Santa Clarita, with minimal numbers of short sales or foreclosures. However we are seeing less homes on the market which again, reflect a usual pattern for this time of year.
Is now a good time to buy a home?
If you’re considering a home purchase before the end of the year, there’s still time to get in “under the wire.” Sellers are usually motivated around the holidays, hoping to at least get into escrow so that they can enjoy their holiday season uninterrupted by buyers stopping by to preview their home. The best thing you can do to get started is to contact Montemayor and Associates by calling either number located at the top of this page, or by using the Quick Response form below.Email Contact Form