Why are only some of the Santa Clarita Cities recording gains in prices?  Because there is a Larger Supply versus Demand Ratio.  The other usual factors that impact a housing market - over building for example, is not the issue with the current decline in home prices, not has it been since the fall back in early 2007.

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Today, we are watching the Santa Clarita market updates and there are a couple of cities that have recorded a positive "price increase" over the past few months.

Here are the Real Estate charts showing the Median pricing trends for both Valencia CA and Stevenson Ranch CA.

However when we look at Graphs that render the actual Inventory - you will see we are, as a real estate "industry", lacking precious Homes, condo's and Town-homes, for these two Santa Clarita Cities. That "lack of inventory" is driving the prices up - although the "overall" real estate market is flat.

As we can see, there has been a major drop with reference to the Real Estate inventory in both of the Cities above, Valencia CA and Stevenson Ranch CA.

The answer to the age old question of "How is the Santa Clarita market", can be yours by utilizing our Market Resources.

All we need is more inventory, but from where?  With all of the "guesses" about the Shadow Inventory, the banks may just be selling everything at bulk sales to investors.  That is a much slower process than just "Releasing" all of their "underwater" homes onto an already depressed market.  This act of just getting everything on the market would cause a further depression of prices.

If the powers that be truly want these "upward" trends to continue - where prices are stabilizing or increasing - they are going to have to lay out clear plans that would not include "flooding the market with REO's".

Time will tell.  There are a couple of things I know for sure.  I'm 43 years young :-) I asked my Mom recently, who is pushing 80, how much the interest rate was when she bought her first home - It was 15% and that was a GREAT deal at the time she said.  We had clients locked yesterday for a purchase in Valencia's Bridgeport Community at 3.87%.  Do the math, then call us to attend our Crash Course on Real Estate at our REMAX of Valencia CA offices.

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