Orange County Housing Market Summary
- The active listing inventory increased by 144 homes in the past two weeks, up 3%, and now totals 5,874. Expect the inventory to increase from now through mid-Summer. Last year, there were 5,757 homes on the market, 117 fewer than today.
- This year, 19% fewer homes have come on the market below $500,000 today compared to last year, and there have been 25% fewer closed sales so far this year. Fewer and fewer homes and condominiums are now priced below $500,000. This price range is slowly vanishing.
- Demand, the number of pending sales over the prior month, decreased in the past two weeks by 61 pending sales, down 2%, and now totals 2,665. It appears that demand peaked two weeks ago. Last year, there were 2,904 pending sales, 9% more than today.
- The average list price for all of Orange County remained at $1.7 million over the past two weeks. This number is high due to the mix of homes in the luxury ranges that sit on the market and do not move as quickly as the lower end.
- For homes priced below $750,000, the market is hot with an expected market time of just 43 days. This range represents 35% of the active inventory and 54% of demand.
- For homes priced between $750,000 and $1 million, the expected market time is 55 days, a hot seller’s market (fewer than 60 days). This range represents 19% of the active inventory and 23% of demand.
- For homes priced between $1 million to $1.25 million, the expected market time is 92 days, a balanced market (between 90 and 120 days) where it does not favor buyers or sellers.
- For luxury homes priced between $1.25 million and $1.5 million, the expected market time increased from 90 to 95 days. For homes priced between $1.5 million and $2 million, the expected market time increased from 108 to 123 days. For luxury homes priced between $2 million and $4 million, the expected market time decreased from 197 to 189 days. For luxury homes priced above $4 million, the expected market time decreased from 426 to 395 days.
- On the luxury end, all homes above $1.25 million, account for 36% of the inventory and only 16% of demand.
- The expected market time for all homes in Orange County increased from 63 to 66 days in the past two weeks, a slight seller’s market (from 60 to 90 days).
- Distressed homes, both short sales and foreclosures combined, made up only 0.7% of all listings and 1.3% of demand. There are only 22 foreclosures and 22 short sales available to purchase today in all of Orange County, with 44 total distressed homes on the active market, up two in the past two weeks. Last year there were 76 total distressed homes on the market, 73% more than today.
- There were 2,614 closed residential resales in April, down by 2% from April 2017’s 2,677 closed sales. April was nearly identical to March 2018’s closings. The sales-to-list price ratio was 98.7% for all of Orange County. Foreclosures accounted for just 0.5% of all closed sales, and short sales accounted for 0.6%. That means that 98.9% of all sales were good ol’ fashioned sellers with equity.
Quantitative Economics and Decision Sciences