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.

Comments

Post a Comment

Popular posts from this blog

Lessons Learned From Chop Wood, Carry Water

It is said that "Greatness isn't for the chosen few, it is for the few who choose." In today's Mindset Monday class we began delving into the process of becoming great (at anything). We did so by reviewing the first few chapters of "Chop Wood, Carry Water" written and recorded by Joshua Medcalf. At its heart, this book teaches us that mastery can only come through a process. A process that will no doubt include many failures. Success, in short, is dirty, hard work. In order to succeed, you must be willing to go through the pain and monotony that is required in order to build the foundational habits required of a successful endeavor. And, you can never ignore the little things. In the end, they are the ones that cost us the most. To illustrate this, he told us the story of a Japanese master home builder by the name of Kota. For, 30 years, he built custom homes for his company that were universally considered throughout Japan to be of the utmost q
Read more

Purchase Price V Interest Rate

Today's buyer is facing a conundrum of epic proportions. It is obvious to most that in many areas of Southern California, prices have flattened out. Luxury sales have slowed dramatically. And, all indicators are that sometime in the near future, we will see a slight adjustment in home values. For that reason, many buyers are thinking that the wise move would be to hold off their purchase. And, most likely get the home they want for less money. And, it is true that historically this would have been a good strategy to employ. Today, I am not so sure. In fact, I am telling my friends and family that today, may be the very best time to buy. That there may not be better time to purchase in their lifetime. Let me explain. While it is true that home values are at near record highs for most of the South-land. It is also true that interest rates are still in the high three percent range for a thirty year fixed rate mortgage. And while property values may drop slightly sometime in the
Read more

The Freedom That Can Only Come From Accepting Responsibility

Happy 2020 To My Realtor Friends and Family, Of all the trainings that I have taken over the years, there are few that rank up there with a simple 4 minute YouTube video that I watched eight or nine years ago. The link is included below. It is a video about accepting 100% of the responsibility. And offer 0% in excuses (or blame). In my lifetime there have been times where I have faced challenges that I believed I would not be able to overcome. Challenges that I easily could claim that they were not my fault. However, defusing blame, making excuses, is a fool's folly. It serves no useful purpose. And, can only raise the level of difficulty in overcoming the hurdles that you must face. When we take 100% responsibility, our mindset changes. Our energy becomes laser-focused. And, our problems become more manageable. When a company adopts this culture shift across the board at every level, something magical happens. The energy level is far more positive. Solutions come
Read more