It was only a few weeks ago when everyone was raving about the Hot sellers market. Houses were selling before being listed and many times above asking price. Signs never got posted in the front yard and many houses were selling pre-market with Realtor’s networking the transaction with their offices. It was a wild and crazy time and so very fun for sellers as they controlled the transaction with a firm hand, being able to sift through multiple offers and select the highest and best.
We’re only a few days into July – normally a peak buying and selling time for real estate and the market shows signs of yet another big change.
Currently there are 110 houses for sale in Carmel Valley – 92130, ranging in asking price from $675,000 for a 3 bedroom, 3 bath, 1631 square foot home to $7,750,000 for a 6 bedroom, 8 bath, 10,725 square foot home. Average market time is 41 days – not hours or days and I show 36% of the 110 homes for sale in Carmel Valley have entered price reductions.
Two key indicators of a changing market are – price reductions and days on market, both of which have changed significantly in Carmel Valley homes for sale. The market has changed for a few reasons -
1. Increased supply. At 110 homes for sale , we are very near a normal market supply for Carmel valley.
2. Increased interest rates. Only a few weeks ago interest rates increased a full percent and currently hover around 4.5% ( still a very , very good rate) , which of course will change a buyers buying power. There is a direct relationship between the rise in interest rates and the decrease in asking prices. Interest rates UP, prices down.
At this point I would encourage buyers who may have stepped back during the multiple offers days, to get back in the market and look at those properties that are on the market for 30+ days, and they will find a more agreeable deal can be made.
Lock in your interest rate and call me to help you negotiate a great deal.
Keller Williams Realty – Carmel Valley