Are the Holidays a Good Time to Sell in LA & Orange County?

The holiday season is actually a great time to sell a home. Rates are low, fewer homes are on the market, and a lot of buyers need to close by the end of the year.

With the holidays approaching, myself and Corinne Wallace are often asked questions by folks this time of year that are thinking of selling. They want to know if selling now in LA and Orange County is a good idea, or if they should wait until after the new year. 

In our experience, now is a better time to sell than if you wait. There are five different reasons why:

1. Interest rates are still low. There is a chance that they will go up in December when the Fed meets. Locking in a low rate now is smart.

Interest rates are still low, but may go up in December.

2. There are typically fewer homes on the market, giving buyers fewer to choose from. 

3. Homes that are decorated for the holidays really sell quickly.

4. There are buyers that want to buy and close before the holidays. December is actually the top month for closed home sales.

5. The buyers looking to buy during the holidays are very serious. There will be fewer looky-loos coming through your home.

If you or someone you know is looking to buy or sell a home in Long Beach, LA, or Orange County, give us a call or send us an email. We look forward to hearing from you.

Southern California Real Estate Market Review

Considering Buying? Click here to search all homes in your area 

  Considering Selling? Get a Free Home Evaluation

2015 has come and gone, so let's go over the housing market forecast for the market in 2016.

In LA County, the average price for a single family home was $540,000, which is a 4% increase for the year. Homes in LA County are selling for 98.8% of the asking price.

In Orange County, the average price for single family homes was $695,000, which is a 2% increase. Homes in Orange County are selling for 97% of the original asking price.

We have particularly low inventory in Orange County and LA County currently. In fact, both counties have 2.6 months of inventory, which is the lowest inventory we've seen in the past ten years. We expect this to set us up for a very strong 2016.

We are currently experiencing interest rates between 3.75% and 4%. In mid December, the Fed increased interest rates by 0.25%. Although this seems like a slight increase, it profoundly affects your mortgage payments. Additionally, we might experience rate hikes again in 2016.

We expect that the market in Southern California will go up 3% to 5% for 2016. Keep a lookout for affordability. Right now, only 30% of the population in LA County can afford the median sales price. In the OC, only 22% can afford to pay the median sales price. That's why we're not seeing the major increases in price that we saw in 2012 and 2013. Affordability has hit a bit of a plateau.

If you have any questions about today's video, give us a call or send us an email. We would be happy to help you!