Inventory and Market Report – 2/9/08

Zip Codes: 91006, 91007market_icon.jpg

Current Market Listings as of February 9th, 2008
Properties for Sale: 253
Median Listing Price: $749,000

Median sales price for quarter ending Jan. 2008: $650,000

December 2007 Sales Report
Properties Sold: 29
Median Price: $790,000

Foreclosure Updates as of February 9th, 2008
Properties in Foreclosure: 8
Properties in Pre-Foreclosure: 66

Inventory has not changed much this past week and plenty of homes are still for sale. Listing and sales activities have been known to pick up after each year’s Super Bowl party. I’m predicting that more homes will be coming online faster than can be sold this Summer.

If you are not convinced that 2008 will be a bad year to buy, I suggest you read this article on why real estate prices can easily drop another 25% in price. As the article points out,

Shocking though it might seem, a decline of 25% from here would merely reverse the market’s spectacular appreciation during the boom. It would put the national price level right back on its long-term growth trend line, a surprisingly modest 0.4% a year after inflation.

No one can argue against the fact that the U.S. real estate prices have inflated beyond its fundamental values and we have a serious affordability issue.

Property and foreclosure numbers obtained from ZipRealty, Trulia and Monthly sales numbers obtained from DataQuick News.