The Corona Norco Real Estate Market
Virtually everywhere I go, I am asked if this is a good time to buy or sell a home here in the greater Corona Norco (and now Eastvale) market. And without hesitation my answer is always the same. Yes it is.
Simply stated, I believe that we are in an era where home value, affordability, inventory, and interest rates have created a perfect storm. Rarely in our history have we seen so much home, sell for so little, with interest rates that just a few short years ago could not be obtained by even the most highly qualified buyer. In fact in many cases, the homes offered for sale today cannot be built for the price for which they are sold.
Now, I know that the national media would have you feeling like the sky is still falling. But real estate unlike any other business is transacted on a local level. And, to truly understand the condition of the market we are in, you must study the transactional data of our market.
Most, economist would agree that the 4th quarter of 2007 marked the point in time in which our market began a continuous downward spiral which would continue into the second quarter of 2009. It was during this time period, that we witnessed the median sale price drop from a high of $425K to a low of $305K.
Since then we have seen six consecutive quarters in which we have seen steady increases in the median sales price (currently $325K). For most of us, this would represent a less volatile more stable market. And, one that is well on its way to recovery.
Further illustrating the resurgence of our market is the fact that in the fourth quarter of 2007 there were only 350 homes sold in our market. Compare that with 700 home sales in the final quarter of 2010 and again we have evidence of a housing market well on its way to recovery.
In the last quarter of 2007 we saw 1656 active listings expire without selling. Today that number is down over 70% to a very manageable and more traditional 493 listings expiring.
If we look at some of the other common barometers of the real estate market such as Days on Market (the number of days from list to sell) and months of inventory, our market data shows again that we are stable, and that our market is edging quickly towards one that closely mirrors healthy traditional markets as opposed to those in a depressed or declining markets.
Today, we have approximately 3 months inventory compared to the final quarter in 2007 when we had to endure 18 months of inventory and a buyer’s pool that nearly evaporated. Our days on Market data is equally exciting. At the end of 2007 we saw homes stay on the market for more than 95 days without selling. Today, that number has dropped to a very respectable 74 days.