10 Aug Huntington Beach Market Update for August 2014
Homes Sold: In July 2014, the entire Huntington Beach market saw a total of 139 houses, townhomes, and condos sold… a decrease of 10.3% compared to last month and a decrease of 21% compared to the same period of 2013. Detached home sales were down 18.1% compared to last month and down 8.5% compared to the same period in 2013. Attached (condos/townhouses) home sales were Up 6% compared to last month and down 34.6% compared to the same period in 2013.
Average Price: The average price of detached homes sold in July 2014 was $941,585, which was up 2.3% compared to last month and up 0.6% from the same period last year. For attached homes the average price was $482,150 which was a 15% decrease from last month and a 8.9% decrease from the same period last year.
Price per Square Foot: The average price per square foot of the entire Huntington Beach market was $414 in July 2014. This is about the same level as June and May 2014, which were $415 & $416 respectively and about the same level as July 2013 ($415). So the market price per square foot for the entire market has been mostly flat for a full year. The price per square foot for detached homes sold in July 2014 was $432, up 0.5% from last month and down 3.2% from a year ago. It hit a peak of $446 per square foot in July 2013. The price per square foot for attached homes sold in July 2014 was $368, down 1.5% from last month and down 1.9% from a year ago.
Marketing Time: Average Days on Market is standing at 67… down from 88 days (23%) last month, but up 26.4% compared to July 2013.
Mortgage Rates: The rate for the conforming 30-year fixed rate mortgage has been “up and down” since bottoming at 3.4% in May 2013. Rates jumped as high as 4.67 in September, but fortunately today’s rate is way back down to 4.12% according to the FreddieMac Rate Survey. This is near the Lowest Mortgage Rates have been so far in 2014. The low rates offer an affordability window that many buyers and sellers should exploit while it lasts… certainly fewer buyers will qualify to purchase when rates increase again.
Money Savings Example: A 1/2 percent reduction in mortgage rate translates to $208 per month in interest savings for a $500,000 mortgage!
What to do? There are about three weeks left in the “selling season”. Now is a great time to put your Huntington Beach home on the market. With interest rates and inventory still relatively low, sellers have the opportunity to find a buyer willing to pay full market value. But, since the inventory of available homes is up and prices have been flat: Preparing your home for the market, Pricing Correctly, and Aggressive Full Service Marketing will be more important than last year. This is the type of market where hiring a Full Service Brokerage like Coldwell Banker really pays off… the extra marketing we offer can make the difference between a house selling or simply sitting!