Orange County Housing Market Seeing Multiple Offers Again

By Scot Campbell | 714-336-0394 | Scot@CampbellRealtors.com | Source: Reports on Housing | March 20, 2023

SUMMARY: Market Times have dropped like a rock since the start of the year, squeezed by not enough sellers. The lack of available homes to purchase has resulted in buyers competing against each other to buy despite low demand.

According to the Freddie Mac House Price Index, as of January, the Los Angeles/Orange County region has seen the price level drop 8% since May 2022 and it was down 2% year-over-year.

After hearing about softening home prices in OrangCounty due to high mortgage rates, many buyers expected the housing market to be slow as they started looking at homes in February. They thought they would be able to take their time and not compete in purchasing a home. Instead, (especially in the under $1.5 million price segments) they are experiencing lines of buyers at open houses. They are seeing multiple offers on the homes which are priced right and in reasonably good condition.

We are no longer in the crazy “panic buy market” of 2021 & early 2022. However, home buyers trying to take advantage of the more attractive pricing are learning that the low inventory is making it more difficult than they anticipated. The savvy buyers are working with realtors who:

1) Have connections with possible home sellers.

2) Who target prospective home sellers using mailers and direct contact.

However, the market has evolved since January 2023. The supply of available homes has been dropping while buyer demand has been rising. The inventory of available homes declined from 2,530 in January to 2,168 today, a drop of 14%. On the other hand, demand has grown from 900 pending sales in January to 1,567 today. The difference between supply and demand has diminished from 1,630 in January to 601 today, its smallest difference since May last year.

The Days of Supply dropped from 84 days in January to 42 days today, its lowest level since May 2022 (A reading below 50 days is a “Seller’s Market”).

It appears Spring & Summer 2023 will be a remarkably good time to sell a well maintained Orange County home which is priced reasonably. Look for more homes to get listed as we move into the Spring & Summer selling season.

Motivated buyers are well advised to get pre-qualified and be ready to pounce on a home that meets their needs.

If you have had thoughts of selling, reach out to me… I may already be working with a motivated pre-qualified buyer who wants to purchase your home!

Scot Campbell Licensed Broker (714) 336-0394

DRE# 00943759

SCOT CAMPBELL IS THE REALTOR FAVORED BY YOUR FRIENDS & NEIGHBORS

He has brokered 1,000s of homes... including just about every type of transaction imaginable during his 30+ year career.

SOLD IN HUNTINGTON BEACH: Want to see all the SInglE Fam Ily hom ES and c ondo S & townhomES that have sold in the last 30 days according to the Realtor MLS. Go to: ScotCampbell.com hover over the “Sold in HB” menu, then“click”.