Real Estate August 2, 2011

Low end market surges

Condominiums and lower priced houses have seen sale increases in Santa Barbara over the past month, and substantial sale surges when compared to 2010. In June and July of this year the number of condominiums under contract were 43 and 52 respectively. Last year’s numbers were only 32 and 22. Similarly with houses priced under $750k, there were 50 under contract in June and 52 in July of this year. Last year’s numbers were 29 and 25 respectively. For residential properties over $750k sales are also showing stronger than last year but not with the same strength as the lower end market, yet.

It’s typical for sales of lower end properties in Santa Barbara to pick up first with the higher end following close behind. There are certainly a growing number of investors looking to get into the Santa Barbara market before prices rise. Many factors have contributed to the current conditions including the new conforming loan limit in Santa Barbara County of $625,500 and the uncertain US debt ceiling agreement which now looks to be moving forward.

Your input and inquiries about the market are appreciated. Thanks!

Have a wonderful week and Viva la Fiesta in Santa Barbara!