This March 2017 Real Estate Market Report describes the real estate market conditions in Coastal North County San Diego, and how they have changed over the past month and year.
What’s Happening in the North County San Diego Real Estate Market?
As I’m writing this report, we’re only 10 weeks into 2017, and it’s already looking like it’s going to be a very competitive spring season. Inventory hasn’t increased much over the past month, so we’re starting off March and what’s usually a busy buyer season with relatively few homes for sale.
Home sellers continue to enjoy a seller’s market. Homes that are well-marketed and priced appropriately continue to sell very quickly, many with multiple offers. Less than a month ago, my listing at 2274 Flatiron Way went off the market within a week, with multiple offers!
Most homes take less than three weeks to sell.
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In Carlsbad, inventory levels haven’t changed since February. Asking prices are higher, and more homes are in escrow – 151 detached homes as of March 4, compared to only 105 on February 4. February sales prices increased from January. The median sales price for a detached home increased from $860,000 in January to $876,500 in February. For attached homes, the median sales price increased from $485,900 in January to $605,000 in February. The median number of days on market for all February sales was only 16.
In Encinitas, inventory has increased only slightly in the past month. Asking prices are higher, and more homes are in escrow. Compared to January sales, February sales prices were higher for detached homes and lower for attached homes. The median number of days on market decreased from 53 to 24 for detached homes, and from 11 to 7 for attached homes.
In San Marcos, inventory is almost identical to one month ago, and more homes are in escrow. Compared to January sales, February sales prices were a little higher for detached homes, and lower for attached homes. The median number of days on market for attached homes decreased from 15 in January to only 7 in February.
In Vista, inventory is only slightly higher than one month ago, and the median asking prices have increased for both detached and attached homes. The median sales price for detached homes increased from $475,000 in January to $519,000 in February. For attached homes, the median sales price increased from $287,000 in January to $320,000 in February.
In all four market areas, the median number of days on market for all detached sales ranged between 13 and 27, and for attached sales, between 7 and 20. In other words, it usually takes less than a month to sell a detached home, and less than three weeks to sell an attached home.
Interest Rates
Fixed mortgage rates continue to hover above 4% for conventional loans. VA and FHA loans have enjoyed lower rates, mostly at or below 4%.
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Mortgage Limits in 2017 – Conventional, VA, FHA
Effective January 1, 2017, the mortgage limit for conventional, VA, and FHA loans in San Diego County is $612,950. The conforming loan limit is now $424,100. Loans at or below this amount usually offer the lowest interest rates.
Loans between $424,100 and $612,950 are super conforming loans. Any loans above $612,950 are jumbo loans.
Loan Program Update
FHA Loan Programs offer mortgages with only 3 1/2% down payment. VA Loan Programs continue to offer $0 down payment mortgages to eligible military active duty and veterans, with no monthly mortgage insurance. Conventional loans are available starting at only 3% down payment, and some of these conventional loans are available with no monthly mortgage insurance.
All of these loan programs can be used for new purchases, or for refinancing existing mortgages.
STILL TIME TO BUY SOLAR! Federal tax code allows for a one-time 30% Residential Energy Credit to purchase home solar photovoltaic systems. The credit may include any repairs necessary to install the panels, including roofing repairs. Check with your tax professional. This 30% incentive will be available through December 31, 2019, before tapering to 10% in 2022. Read my Solar for Homeowners article series.
Down Payment Assistance
The San Diego Housing Commission provides loans and grants to help first-time home buyers. The California Housing Finance Agency (CalHFA) also offers down payment assistance to low- to moderate-income Californians. HomePath offers a down payment assistance program called the HomePath Ready Buyer Program. Also, check out the Down Payment Resource Directory, an online search tool to identify more down payment assistance programs.
Consult the Real Estate Market Report for Your Area
My Real Estate Market Report covers the areas of Carlsbad, Encinitas / Leucadia / Cardiff-by-the-Sea, San Marcos, and Vista.
North County San Diego Market Report March 2017
What’s Next?
Selling Your Home
Are you curious about how much your home is worth? The Real Estate Market Report is a good start, but if you’re interested in the market value a particular property or area, contact me for a specific market analysis. In addition to my Real Estate Market Report, I also provide information about seller closing costs, to give you the true cost of selling a home.
You can also use my Seller Net Proceeds Worksheet, to estimate your bottom line. You can also read about the seller disclosure process. If you need to sell one home to buy another, here’s how to sell and buy a home at the same time.
Buying a Home
If you’re thinking of buying a home, use my Cost to Buy a House Worksheet and my Monthly Housing Costs Worksheet, to help you budget and plan for the future. You can also estimate your Mortgage Approval Amount. Learn more about the Cost to Buy a House and the Cost to Own a Home. If you are a cash buyer, read about Closing Costs for Cash Buyers.
For information about mortgages, you can read my articles about Choosing a Lender, How to Get Mortgage Approval, and How Much Home You Can Qualify to Buy. If you’re interested in buying a fixer property and hiring contractors to make repairs and renovations, you should consider a Renovation Loan. Renovation loans finance both the property and the renovations, in one single mortgage payment. Renovation loans can be used to finance energy upgrades, like insulation and solar panels. Before you invest in energy efficiency, read about 7 Ways to Finance Energy Upgrades.
Any questions? Send me a message.
