As we make our way through December 2019, what do the latest market statistics mean for buyers and sellers? What can we expect moving forward in January of 2020?
Before I get to that, I want to thank you for a great year and a great decade. As we always do at the end of the year, my team and I reviewed where our business came from in 2019. We found that 70% of it was from people we worked with previously or were recommended by someone we worked with previously. Our job is to have lifelong, raving fans as clients, and we’ll continue to do our best for you.
Now, onto our latest market statistics from last month. Year over year closed sales rose 5% compared to November 2018. The big news, though, is that pending sales have risen 49%. Inventory, meanwhile, is down 16%. Interest rates have also dropped from around roughly 5% to closer to 3%.
For buyers, this makes now an amazing time to buy. If you were to get a $500,000 loan right now, you’d be paying approximately $300 less per month than if you got that same loan a year ago. If you add that up year after year, that’s a huge amount of savings.
What about sellers? Many people assume we have a seasonal market, but we don’t. There are normally fewer homes for sale and fewer looky-loo buyers during this time, but the buyers who are looking are very serious. This makes now a great time to sell as well.
There are a couple of changes you need to be aware of once the clock strikes midnight on 2019. First, there’s a statewide rent control ordinance going into effect. Second, there’s a brand-new inspection you’ll need to get if you’re thinking of selling in San Luis Obispo. If you want to know about either of these changes and how they impact you, go ahead and give us a call.
I hope you have a wonderful holiday season, and if you have any other real estate questions, feel free to reach out to me as well. I’d love to help you.