San Diego median home prices slightly down from July’s All-time high

Slightly down – but still far above 2016…

In July, 2017, the median single-family resale home price in San Diego reached a record high of $610,000.

Since then, it has drifted slightly downward, but September was still up 8.1% over September 2016. This marks the 64th month that prices have been higher, year-over-year.

Condominiums are still rising, with September up 1.5% over August and 9.4% over September 2016.

A look at what’s selling tell us that prices have risen across the board, from starter homes to mansions – so this median doesn’t simply reflect a difference in what’s selling.

In the meantime, the number of homes sold per month is dropping. September 2017 saw 10.8% fewer sales than September 2016. How could it be otherwise, with the number of homes for sale at a frighteningly low number.

The San Diego average is 17,211 – and as of September 10 there were only 3,660 homes offered for sale. This means that we have only 56 days’ worth of inventory, while the average is 144. In a balanced market, there are approximately 180 days (6 months) of inventory.

As might be expected in such a strong seller’s market, sales prices are hovering near 100% of list prices and homes are going under contract quickly. The average days on market since January 2001 is 57 days, and now it is down to only 35 days. Condos are selling in just 27 days.

This is not to say that every house sells in record time or for 100% of list. Some simply do not sell, for the same reasons they don’t sell in any other market: They’re overpriced or in poor condition relative to the asking price.

Serious sellers should take advantage of this strong seller’s market, but trying to push beyond the already high prices is apt to result in failure.