With Thanksgiving just around the corner, I am truly thankful for this year’s support from our friends, family and new clients (many of whom have become friends!). While this year presented it’s challenges to the real estate community as a whole, we were able to have a banner sales year, due to the amazing friends that support my business. On this topic, the Carmel Pine Cone printed an interview with me this week, where I had the opportunity to tell my story, and hopefully inspire someone along the way. There are probably some tid-bits about my struggles in there that many people wouldn’t expect- I hope you take something from it! You can read online on the Pine Cone’s website, on page 33 A, or below in the body of this email.
In the local real estate market, Month’s Supply of inventory is up about a third compared to this time last year to 3 months supply. We are gradually migrating from a highly favored seller’s market, to a more evenly balanced market (4-6 month’s supply of inventory is considered balanced). The list price to sale price ratio is right around 97%. We are still not seeing large discounts overall. And about 60% of the homes sold are at or over asking. Closings for the county overall are down about 21%. Mortgage interest rates on the 30-yr fixed came down to 7.5 percent, from an average of 7.76 the week prior, then ticked slightly upward again on Monday to 7.55 percent, following Jerome Powell’s comments that the FED hasn’t raised rates enough.
So what’s happening on the ground? I continue to see consistent, local demand. New construction and ground up rebuilds in prime markets around the area are sometimes picking up record breaking prices per square foot, and even newer construction homes that sold a year or two ago, sometimes again break their prior records. Properties and homes with some deferred maintenance, location issues or configurations not immediately in line with the ideal market, can take longer to sell and require deeper discounts. Unique, high quality properties in niche areas like prime downtown Carmel also continue to surprise with new record numbers, further reinforcing the notion that some buyers are willing to pay up to be here. There is also quite a bit of pressure on the entry level market in each area. Demand remains present, even as other parts of the market continue to rebalance a bit.
I hope this month’s recap was helpful. Wishing you and your families the very best as we near the holidays.
Cheers,
Ryan Melcher
Just Sold
In the News
Building a real estate business is hard — and the market doesn’t care who you are
The Carmel Pine Cone | November 10, 2023
It was a sunny day in Santa Barbara, but not a happy one for realtor Ryan Melcher, now a top producer with Sotheby’s. It was 2010, and he had just left his fifth rental that year…
