North of Montana Homes – Santa Monica Real Estate Market Report: Signs of Recovery are Abundant
We are steadily gaining momentum as we settle into 2013 and prices are definitely on the upswing. Almost everywhere you look are positive media stories reporting rising prices, record sales, and lower foreclosure rates. We all know that the real estate market is constantly changing and it is with great optimism that we are diving into this new market.
Prices are rising across the nation, state, and in our local market; however, pricing still remains incredibly sensitive. We are experiencing multiple offer situations, over- asking sales, and bidding wars across our market. Abnormally low inventory and an eager buyer pool are at the root, including increased activity from investors who appear to be back in full force, snapping up good, well priced properties.
Prices are on the rise in Southern California with prices up 23.5% across all six counties according to Data Quick. In addition, January posted the highest home sales in the past 6 years. Rising prices are also coinciding with falling foreclosure rates. Foreclosureradar.com is reporting a 60.5% decrease in default notices issued in California from December to January. Tough new laws which have recently gone into effect providing homeowners more protection against aggressive bank repossession are likely the cause.
As prices rise, we hope to see more sellers entering the market causing inventory levels to stabilize. It is encouraging to see so many positive reports although we know that there are many factors involved, all of which are constantly changing.