It’s been widely publicized over the past week that U.S. home prices have just surpassed record highs set a decade ago. Details can be read in an article published by HousingWire, along with data collected by Case-Shiller, through the following links: HousingWire, Case-Shiller.
Reading past the headlines of articles on the subject one can see that the new record highs are highly dependent on the area of the country you live in, and when the effects of inflation are factored in home prices are relatively still about 20% below peak.
The 2016 median home price for the Santa Barbara area currently stands at $1.2M, which is a 4% increase over last year. In 2005 the Santa Barbara area real estate market experienced its still standing record median home price high of $1.275M.
If median home price gains continue at their current pace then Santa Barbara won’t surpass its previous record level until mid-2018, giving local buyers the opportunity to capitalize on lower prices and interest rates than will likely be seen in the future.
Thanks to everyone for sending in your real estate inquiries. I appreciated the opportunity to assist you throughout this holiday season and eventful upcoming year.