The housing market isn’t much different than the stock market. You have to pick your spots. Sometimes your chips fall on the right number, other times the house wins. In February, the housing market saw a 12% drop in house sales across southern California. This decrease has left a rippled effect that will flow through the summer months. While the following months are going to heat up temperature-wise, the housing market is going to cool down. That’s why right now is the time to buy if you are looking to buy a house in southern California.
Summer 2019 is a Buyer’s Market in Southern California
Currently, home sales are down. Many of the houses that are up for sale have been for a while. Therefore, some of the owners are getting a bit antsy to cut bait. One’s loss is another’s victory, making right now a prime time for buyers.
Typically, the summer months are a popular time for people to start shopping for houses anyway. However, many of the sellers have been sitting with the same inventory as last summer. So, you can expect two things as the season starts–prices dropping and sellers caving.
As a buyer, you are holding a good portion of the power. So, it’s wise to get yourself pre-approved for a loan now. That way, you know how much you have to play with when you start your search. Knowing how much you can afford will go a long way if you find yourself in a bargaining war. It’s like having an ace up your sleeve that the seller has no idea you are carrying.
Why You Should Buy a House in Southern California Right Now
With all these buyers looking to sell their southern California house, you might not feel like you’re in no rush. However, you should act now to take advantage of the current rates. For one, while the number of properties sold in southern California is down, the median price is up 1.2% from last year. So, while there is room to negotiate, sellers are still making a good profit in many booming neighborhoods.
In addition, rumors are circling that mortgage rates will increase from 4.5% to 5% by the end of the year. So, if you wait too long to buy your house in southern California, you might see a price hike and a mortgage percentage jump. All of these analyses make right now the ideal window to buy a home in southern California.