Real Estate Market Update

Posted by David Feldberg on Sunday, February 17th, 2013 at 2:02pm.

Due to exceptionally low interest rates and low prices as a buyer it can be a challenge to not only find a place you want to purchase but also to have your offer accepted. Many properties are receiving multiple offers within the first 24 hours. For sellers this is great news, but for buyers it can be a frustrating experience.

What to expect?

As a buyer if you are putting down less then 20% expect to make multiple offers on different properties before you will find an offer that will be accepted. If you are putting down more then 20% or even making an "all cash" offer your chances of having an offer accepted increase dramatically.

How much to bid?

In January 2013 the average price for a single family home in Newport Beach was $1,730,597 and they sold at 96.1% of asking price. What's amazing about this number is the amount of bids on a home listed in that price range is dramatically reduced due to the price point. As another example homes listed in Costa Mesa with an average price of $571,810 received 98.1% of asking price in the same period. On every home you make an offer on one of our agents will run comparable homes for you to make sure the property is accurately priced. Assuming it is priced fairly expect to pay very close and sometimes a little over the current asking price. You never want to over bid on a home but on homes priced correctly and listed under $1,000,000 expect competition.

Timing

Due to the lack of new homes for sale and the low interest rates homes are selling very quickly, this means you need to find out when homes are listed right away. On our site you can save your search and have the site alert you when new homes are listed that match your criteria. This way should you like a home and want to make an offer you can be one of the first offers received thus giving you a leg up against the rest of the competition.

Please contact one of our agents today to see how we can help make your search and the home buying process much easier.

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