We have been speaking about the local real estate market in the Santa Clarita Valley since our start in real estate, that was in 1998.
However, during the past 4 years the real estate inventory has been dwindling. We have seen it go from over 1000 units for sale in the residential real estate realm to the low point of today, 416 Santa Clarita residences which are for sale.
I'm referencing homes which are in the Santa Clarita Valley Cities of Acton - Agua Dulce - Canyon Country - Castaic - Newhall - Saugus - Stevenson Ranch - and Valencia.
259 real estate listings are in the "under contract" category, accepting backup offers. This is somewhat of a confusing status because, in most cases, these properties will not be seen again by anyone, even if there is an interest home buyer. The "BACKup - active" also keeps the home appearing as if it's still "fully active" on certain real estate syndication websites.
That gives a total of 934 real estate listings which are in some type of "on market" or "off market" status in the Santa Clarita Valley cities.
If we had over 1000 units for sale, the market would be much more of a buyer's market. Instead, we are deep in a seller's market zone regarding the local real estate economy.
When I look to the other Cities in which we serve the needs of our real estate clients, my research indicates the following numbers, which are similarly low as compared with the Santa Clarita Valley.
These Numbers are extremely low and I'm monitoring them for our real estate clients.
The action which will start the supply of more real estate inventory hitting the market is going to be the bridging of the gap where current homeowners are with their home mortgage interest rates and where they will be with a new purchase.
Currently, most homeowners who bought residential real estate before October of 2016 are in the low 3's as far as interest rates are concerned.
When they are buying now - they are going to be in the 4's - that is something which they will have to overcome before the market starts to replenish itself and start moving toward a buyer's real estate market.
I will keep you posted on our HousingRadio.com real estate radio show which you can listen to anytime on SCVblog.com. I'm Connor MacIvor and I'm glad to be at your service.
Be safe - and may God speed you on your quest for real estate and I hope to be a part of it!