O.C. homebuyers snapped up 2,266 residences last month, by DataQuick’s math, the highest monthly total of finalized home purchases since August. That’s when the credit crunch began seriously denting the ability of shoppers to get mortgages.
It doesn’t hurt that O.C.’s median price is now below a half-million bucks for the first time in four years. (read about that trend HERE!) Still, 2,266 purchases in May — supposedly prime selling season — isn’t so hot: It’s off 15% from a year ago’s total and 46% below the average May from 1988-2007. Year-to-date, sales are running 34% below 2007’s pace.
Other data indicates that this modest buying surge will continue as a Re/Max count of O.C. deals in escrow is at its highest since September ‘05. Read about it HERE! And, by the math of one group of economists, O.C. homes are now actually undervalued for the first time since ‘03. Plus, a local brokerage CEO thinks the market could be healthy by late 2009. Read about it HERE!
Here’s a look at O.C. homebuying history, according to DataQuick …
| Month | ‘88-’07 avg. | 2007 | 2008 | ‘08 vs. avg. |
|---|---|---|---|---|
| January | 2,737 | 2,400 | 1,286 | -53% |
| February | 2,838 | 2,449 | 1,471 | -48% |
| March | 4,078 | 3,130 | 1,663 | -59% |
| April | 4,017 | 2,682 | 2,166 | -46% |
| May | 4,198 | 2,675 | 2,266 | -46% |
| June | 4,531 | 2,641 | ||
| July | 4,137 | 2,391 | ||
| August | 4,362 | 2,285 | ||
| September | 3,894 | 1,643 | ||
| October | 3,724 | 1,700 | ||
| November | 3,430 | 1,567 | ||
| December | 3,920 | 1,731 | ||
| Average | 3,822 | 2,275 | 1,770 | -57% |
BAD LOANS: O.C. foreclosures hit record high in May.
POLL: Do you think this is the bottom of the downturn? CLICK HERE to vote!
May’s homebuying pace a 9-month high
Or
Almost 50% below average buying in May (88-07)
If May is the prime selling season, housing is in in for a world of hurt.
Yikes indeed…by the looks of it though we should see the permabulls jumping up and down when we get into positive territory in August or September but still below historical average. Probably another 50K to go.
half empty or half full William…ahhh, nevermind…that is easy with you.
pes·si·mist –noun
1. a person who habitually sees or anticipates the worst or is disposed to be gloomy.
Or is named Bill.
Mulliganville,
You can put a suit and tie on a turd but it’s still a turd.
Optimist - a person who habitually sees or anticipates the best and that always spins it into a positive situation, no matter what the true outcome is. (These people are often caught off guard and stand to lose the most)
It is a mindset Bill…is it 30% chance for rain, or 70% chance for sunshine? How do you want to see it?
But, to be fair…we are comparing numbers today against historical numbers which for the most part, had a credit market to work with. Would that be a minor variable in the equation? I would say no.
It is good we are beginning to work through these REO properties. We have to. I just think you and Bubble want the RE industry to implode entirely. I have yet to figure out as to why…but each of you continuously froth at the mouth at negative news. We all know what is happening in the economy. My only guess is you want to purchase something, and wish for the market to continue downward so YOU can benefit personally. Please do not tell me you are looking out for complete strangers. I just will not buy that coming from the likes of you.
Steve is a clown shill for the NAR!
Bill, I’ve seen you in a suit and tie and you’re absolutely right.
SeekingAlfalfa,
With a mouth dirtier than a wicker toilet seat, you probably see a lot of them.
I repeat: there is NO evidence that ALL homes bought in the summer of 2007 could be purchased for less today. That is simply a lie.
Good one, Alfalfa!
Thoughtless that’s retarded even for you. Please try harder.
Thoughtful Says:
“I repeat: there is NO evidence that ALL homes bought in the summer of 2007 could be purchased for less today. That is simply a lie”
Can you show us just 1 2007 property that has sold higher than what it was paid for?
Can you show us just 1 2007 property that has sold without a loss?
That’s what I thought!
Buyer beware- Speaking from personal experience with RE/MAX, they are slimy crooks in suits. Don’t believe a word of their lies.