November 4, 2020
By Saeed Ghaffari
For the second week in a row the active inventory numbers went down in every county. This is partly due to listings changing status to pending, under contract, and some may have expired or cancelled. It would have been nice to see new listings in the market replacing those changing statuses, but unfortunately, we see a drop in new listings too.
Just as mentioned last week, we cannot ignore the impact of presidential election, covid and the winter on our market. Seasonally, winter is a slow time of the year for sellers. Covi does add a concern to people allowing foot traffic to their homes and of course there are people who want to wait for the election results before deciding whether to sell or not. Taking all this into account, a less than 1% drop in active listing inventory and less than 5% drop in new listings is totally normal.
The closings went up in double digits in all counties with an exception of Los Angeles that showed a 6.79% increase. Ventura county had the highest closings among the 6 counties with 59.15% increase, but on the other hand it showed the highest drop in the new listings, 14.97%.
The average number of days on the market for closed inventory stayed pretty level from one week to another, averaging around 30 days.
Need a realtor in your area? Click on More & More Realtors
Sign up on to be a free member and connect with our members and receive our weekly news and updates (Sign Up Here )
Call Us Today
714 469 5529
Should I Wait For Housing To Crash Further Before I Buy A House? 3 Reasons The End of 2022 Could Be The Very Best Time To Jump In
Prices falling in expensive cities
In two-thirds of major regional housing markets — 98 out of 148 — prices continue to drop, especially in more expensive locations.
We may see expensive markets fall further, which if that happens sooner than later, would make it an excellent time to buy into an expensive market. This wouldn’t have registered as a possibility even a few months back.
It’s difficult to predict if this will happen. And if so, whether falling prices become offset by the federal interest rate hikes practically certain to arrive in the coming months.
The only way to know for sure is to wait until the latest rate hike sets in.
Meanwhile, keep in mind that — as with any investment — it’s best time to buy is usually when prices are low.
With mortgage rates dropping and fee changes in the pipeline, now may be the time to buy that home Do you like this Article ? Sign up HERE for your FREE M&M Account to receive more Real Estate related information and news and THIS article. M&M Membership...
The days of waiving contingencies such as appraisals and forgoing inspections are fading into the rearview mirror. Still, contract activity remains slightly competitive depending on your location.
At least 24% of buyers waived the inspection contingency in December 2022, according to the National Association of Realtors confidence survey, up from 16% a month prior and 19% one year ago. An additional 24% of buyers waived an appraisal contingency in December, up slightly from 16% in November and 21% a year ago.
Home inspection contingencies are particularly important because it can let you know if there’s a deal-breaking issue with the property before a purchase occurs. It can also help you negotiate repairs with the seller, which is becoming increasingly common in today’s market.
“If buyers have this short window to buy where they can get incentives to purchase, [they] would rather buy where they have an opportunity to really think about it, get an inspection, a financing contingency and not feel rushed,” Jeff Reynolds, broker at Compass and founder of UrbanCondoSpaces.com, told Yahoo Finance.