Hey everyone, and welcome back. Sorry we haven't posted in a while, we've just been so busy selling homes that we haven't had time. Today, however, we are back, and here to tell you what has been going on as of late in the San Luis Obispo real estate market.
In the past few months, we have noticed a huge increase in inventory in our high-end market (listings over $1 million), and it's pretty fascinating. In 2013, we had 31 home sales over $1 million in the first four months of the year. In 2014, the number was 39. Through the first four months of 2015, we had 54 closed sales in the $1 million+ market. That is a 75% increase in sales in just 2 years! There are also currently 35 $1 million+ properties in escrow, and the market for these homes continues to be very strong.
Last year we averaged $551 per square foot on homes, but this year the average price is down to $492 per square foot. Does this mean our market is suffering? Not at all. In fact, it means our market is stronger because our sales haven't decreased due to the price decrease.
Next time we talk, we are going to let you know about our low interest rates, and how they are causing a slowdown when it comes to getting approved for loans. If you're about to buy or sell, be prepared that it won't happen as quick as we like, but this too shall pass.
If you have any questions for us, feel free to give us a call or send us an email. We look forward to speaking with you!