SAN DIEGO – After a rapid rise in home values in San Diego County, recent data shows the first signs of a market finally cooling down.
“If your finger is aware of the market, you look at inventory, look at discounts, look at market days. What is happening here and is this an event or a trend” , said FOX 5 real estate expert Ken Kaplan.
Kaplan broke down the latest outlook on real estate across the county and said that as inventory increases, selling power decreases.
“Homes are getting one or two bids instead of 20 and not going over the asking price, but maybe the asking price.”
Kaplan says this slow but steady shift started about 60-90 days ago and he’s seeing a 5-20% reduction in existing inventory in some areas.
For sellers, if you’ve been in your home for a long time or even about three years, he says now is the best time to put their home on the market because they have appreciation value.
For buyers, the ball may be back in their court when it comes to bargaining power.
“Asking the sellers who have been in the market for a little while for the closing cost, help in repurchasing the rate so you can get that great rate, those things that weren’t on the table before are now in kind of back on the table,” Kaplan said.
To see how things will continue to evolve in the housing market, Kaplan says to ultimately keep an eye on inflation, interest rates and the global economy as a whole.
“Do I think we are going to have a big crash? I can’t say that, but do I think we’re going to have a correction? Probably yes,” he said.
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