There was good news for BOTH buyers and sellers in October 2014. 22% more single family homes closed in Murrieta and Temecula in October 2014 than in October 2013.
Price Reductions Slow: Only 113 homes reduced their price to sell which is 43% less price reductions than in September 2014. Prices have been softening overall for over a year now in the Temecula Valley. Of course there are exceptions to this rule but overall the statistics paint a clear picture. The slow down in closings with reduced prices infers that the price decline could be slowing. Let’s watch November and December before we jump to conclusions though!
Half of the Home Sales were below $400,000: 172 out of the 338 total single family sales were below $400,000.
Only 34 homes sold over $500,000 and 2 closed over $1 million. The recovery of the housing market in the Temecula Valley is being fueled by low interest rates and FHA and VA buyers – although there is a healthy influx of baby boomers buying their “retirement home”. The local economy remains tentative – remember this is an area of commuters and small businesses. Small businesses still struggle to regain the numbers they achieved in the early 2000s. Until a robust upswing in business profits and employment the “move up” market will remain weak.
There are many opportunities for buyers in the high end market with homes for sale well below construction cost. Buyers are still able to find sellers willing to pay closing costs so sellers make sure you allow for a buyer concession when calculating the net profit from your sale.
Sellers please price your home competitively and make your homes as move-in ready as possible. Make sure that you are the best priced home in the area for the condition of your home – you want to be the NEXT home to sell, not the one after!
For a direct, informed and sensitive valuation of your home please contact us at Warburton Properties. Call 951 326 5568.
Buyers we have over 25 years experience negotiating on the behalf of Vets and First Time Home Buyers – we are here for you! Call 951 326 5568.
Happy Thanksgiving to all!