Spring Demand Reheating Real Estate Market

If the supply of housing is constrained and unable to keep pace with rising demand, prices tend to increase. This scarcity can create a sense of urgency among potential buyers who may be willing to pay higher prices to secure a property before it becomes even more expensive. This increased demand due to limited supply can further drive up prices.

Market Trends for South Santa Barbara County from 2013 to April 2023

The Santa Barbara Association of Realtor’s Report for April 2023

Sold Single Family Residences

The average price for 68 homes sold in April is $3,369,684

The highest price sale for April is $18,000,000 for 1850 Jelinda Drive

The median price is $2,037,000

The lowest price home sold is $850,000 for 1115 Hutash Street

The average market time is 26 days

Sold Condominiums, Townhomes, and PUDs

The average price for 21 homes sold is $1,095,095

The highest price sale is $3,432,500 for 1030 Via Alicia

The lowest price sale is $600,000 for 1051 Ballard Avenue #3

The average market time is 19 days 

(If you compare this to the data from Fidelity Title Company you’ll notice everything here doesn’t quite jibe perfectly but it’s fairly close. Typically I defer to the Title Company as they see sales that don’t always come on the market which might be the sale of a property within a family or an off-market private sale.)

The debt ceiling debate is a different ceiling that is commanding more of the bond market’s attention. What are its implications for the housing and mortgage markets?

The most direct effect is a general ebb and flow of risk sentiment in the market. If resolved investors may be slightly more interested in buying stocks and selling bonds.

The latter puts pressure on interest rates and that’s been the general theme this week.