Are Home Prices Rising? The real estate market here in Santa Barbara continues to remain buoyant even with high interest rates. As the year progresses our unique coastal community continues to attract interest and investment in Santa Barbara real estate.
Keep in mind that all real estate is local. What may be happening somewhere else in California could be completely different from what you’re experiencing.
Case Shiller: Home Prices Way Up Due to Scarcity
In Santa Barbara, it’s almost case by case. While home sales are up from this time a year ago we’re seeing more and more asking “price reductions” on initially obviously overpriced listings that real estate agents like to suggest are “price improvements” putting a positive spin on the phenomenon.
As difficult as this might be for people to understand the homes that are initially listed close to the threshold of what the property eventually sells for typically will get the best offer. Sounds simple? Not really.
The seller and listing agent have to agree to a strategy which does not always bode well if the seller wants to “test the market” with an inflated asking price. If this strategy doesn’t work then the process of reducing the asking price to where it sells is your next option and not the best methodology for getting the highest and best price. The longer a property stays on the market the perception of its value changes.
Are home prices rising? Homes that are done/finished have high appeal in this market and if the property is priced properly for the current market chances are the property will sell in a reasonable time frame. Do your homework. Have some idea what similar homes to yours have sold for before you meet with a realtor and good luck!
Another curious factoid is the percentage of homes that sell in Santa Barbara for all cash. In April of 2024 that was 50% of sales.
Three Signs the Housing Market May be Getting Better for Buyers Source: Business Insider
Buying A Home is Becoming More Difficult Source: NBC News
