San Clemente Real Estate: Market Performance May 2009 vs May 2008
San Clemente real estate, including Talega real estate, continues to suggest we have reached a bottom or are nearing a bottom due to (1) decreased inventory from higher sales and fewer properties coming on the market and (2) due to the average price per square foot for San Clemente homes and condos sold holding steady over the past three months.
First, new listings for San Clemente homes and condos for sale are down 8.1% while sales are up 8.6% for May 2009 versus May 2008 year-to-date. This means a continued reduction in inventory, a key for the market to be stable. Sales year-to-date continue to outpace 2008 for the fifth straight month as we enter the busy summer buying season.
Secondly, over the past three months the average price per square foot for San Clemente real estate sold has held steady around $350. While most media reports on the average sales price for San Clemente homes and condos sold, which is down 24.5% over the 12 month period, it does not realistically portray where the market is today. The bulk of the inventory that has sold has been in the lower and middle market properties thats consists of short-sales and foreclosures. When more of these properties are selling, it naturally pulls down the average sales price, but not necessarily the average price per square foot. For example, more $500,000 properties selling brings down the average sales price, but the average price per square foot would hold steady if these were all similar in size, features, and amenities (given a stable market). This is why the average price per square foot is a key figure to evaluate for a stable market versus average sales price.
Nevertheless, price declines have drastically slowed and buyers confidence in the market is clearly returning with the continued up tick in sales. For more information, including a free assessment of your real estate needs, please do not hestitate to contact your exclusive San Clemente Realtors.
