Video Transcription of March 2018 Real Estate Market Update
Tyson Lund with the Lund Team, giving you a market update for March 2018. The numbers aren't in yet, but we are already seeing the effects of continued low inventory, and what is said to be another robust record spring, with average prices in the coastal cities and close to corridor, and San Marcos, Vista, Oceanside as well, year over year, you're going to see increases.
We're already seeing it, where we are listing properties slightly above the recent sales that have happened in the winter of 2017, and already we are seeing at asking prices, we're seeing multiple offers, so for home buyers in this market trying to get a gauge of what is going on, you're seeing the results of low inventory. It's year over year of one to two months of inventory, and it is just so difficult to find a home. So we have a couple tips for home buyers.
And sellers can get the other side of the coin to try to gauge on how they want to play this market. But for home buyers, understand that low inventory makes it more difficult to find exactly what you want. So you've got to write down your non-negotiables, you've got to look at what is most important to you, and where maybe you can be a little bit more flexible. Those people that have been in the market looking for a home, in a year or two years, have seen prices escalate. It does not pay to not have your ducks in order, and to wait when it comes to an escalating market, because it just costs you that much more to buy your house.
So, put your non-negotiables down, have a good conversation with a good, solid agent, have a sit down and say, “where might I be?”, so you're prepared. When something does pop, you can make an offer. Second advice to you, and however we say this, get pre qualified. Average rates are still very low, but they have been ticking up recently. 4.6 to 5 is roughly around the average at this point. They should be going up slightly as it comes closer to the summer. Not dramatically, quarter point or so, but that's our expectation. So get pre qualified, know what you can afford.
Rates are higher this year than they were last year. And remember, they're still very low in comparison to 2005, 2004. Average rates around that time were 6 and a half, 6.8% at the high mark. And, when you go out looking, this still is a person to person business. When you are structuring an offer, if you find something you like, be personal. Write a great cover letter. Tell the other agent about who you are and why this house may be the right fit for you. We find often that sellers, when faced with making equal offers, they're making emotional decisions and going with, maybe the buyers that they really connect with, or think that they may enjoy the home just as much as they did.
So, real estate's so much fun, there's so many different questions. Please send us an email, send us a text. Let us know your questions for 2018. We're happy to post a new video with answers to your questions. Thank you. .
Broker Associate | 01385039