The local real estate market here in Mission Viejo and Orange County has gone through a major price correction that began in the Spring of 2006′. In the Spring of 2006′ the Median sales price for a detached home (SFR) in Mission Viejo was $735,000, and for attached condos the median price was $485,000 at that time. Today, the median sales price for SFR homes is $515,000, and $315,000 for Condominiums. This represents a price decline of 30% for detached homes and 35% for attached Condos in Mission Viejo.
Due to this severe decline in prices, and historically low interest rates, well priced homes and condos are selling very rapidly in Mission Viejo. The most accurate measure of the strength or weakness of any local real estate market is the measure of Months of Inventory. Months of Inventory is a standardized statistic of the calculation of how many months it would require to sell the current existing inventory of homes for sale. This is basically a calculation of the ratio of the number of homes active for sell, compared to the rate at which homes are currently selling. The larger the inventory of homes, and the slower rate of sales produces a large calculation of Months of Inventory. Correspondingly, and small Months of Inventory represents a strong Sellers market.
Currently the months of inventory for attahced Condos in Mission Viejo is a very low 0.6, and the months of inventory for detached homes is a low 0.9. That is to say iw would only take 2.5 weeks to sell out the entire inventory of condos currently for sale, if no other condos were added on the market for sale in Mission Viejo. Tht is a supre red hot sellers market. And likewise for detached homes. Traditionally, a Months of Inventory of greater than 6 months is a soft Buyers market. A figure of 4 to 6 months is considerd a Neutral market, and 2 to 4 months is a Selelrs market. And anything below 2 Months is a hot Sellers market. So unlike the reports in the press of a depressed real estate market, the fact is, prices are selling fast at tody’s low prices. For more information about Mission Viejo or Orange County real estate, please feel free to contact us at: (949) 388-3396 or email us at: Info@eVantageRE.com. Also, if you would like to view all Mission Viejo Condos or single family Homes for sale online, without having to speak with a Realtor at this time, just visit our website at: eVantageRE.com
