San Diego Real Estate Shines: Few Homes Sold at Loss, Beats National Average

San Diego’s housing market stands out for its resilience, with a recent report from Redfin underscoring the city’s strength. A mere 1.2% of homes sold at a loss from August through October, positioning San Diego as the third city among the nation’s largest 50 in terms of preserving home values. This resilience contrasts starkly with San Francisco, where 13.5% of homes saw prices dip below their purchase rates this fall. Frank Powell, the President of San Diego Association of Realtors, highlighted the focus on affordability over devaluation, noting that while some homes require price adjustments after three months, they still generally sell for more than their purchase price.

Despite a slight decline in housing prices from September to October, San Diego’s real estate market remains robust year over year. The median sale price of a single-family home in October stood at $936,250, up from $860,000 the previous year, a fact underscored by the California Association of Realtors and reported by NBC 7 San Diego. San Diego’s housing inventory is in transition, with the ratio of new houses for sale to those sold dropping from 3.0 to 2.3 compared to the same period last year, indicating a stabilizing market. Statewide, California’s median home price stagnated at $840,360 from September but showed a 5.3% increase from the previous year, according to the CAR survey.

Despite the impact of higher interest rates on sales, Jennifer Branchini, President of CAR, pointed out favorable factors for buyers. These include increased time properties spend on the market and fewer homes selling above the list price, potentially prompting more sellers to offer concessions. This complex market dynamics in San Diego and the broader California market reflect a shifting landscape favoring buyers while emphasizing the city’s stability in retaining home values amidst economic fluctuations.