Orange county home prices are going up almost every day and one of the most common questions that home buyers have when speaking with their Orange County Realtor is “why are Real Estate prices going up so fast in Orange County?”. The answer to this question depends upon whom you ask but, it can be broken down to a few key reasons:
The first reason why home prices in Orange County are going up quickly is due to the low supply of available homes for sale. Having a low supply of home inventory has actually helped home values because, when a homeowner decides to sell their home, they can typically expect multiple offers and this will ultimately enable them to sell their home for far more than their original asking price; multiple offers also has a trickle-down effect because, it will raise the values of other homes in the area too.
As we’ve mentioned in previous blog posts and videos, the Orange County Real Estate market is super competitive right now and there are more homebuyers on the market now than in previous years thanks to historically low mortgage interest rates and financing thanks to programs like VA, FHA and HUD loans.
Not Enough Homes For Sale
Another reason for the increase in home prices across the Orange County area is that there are not enough homes for sale. Homebuilders are trying to solve this problem by building more homes in Orange County. One problem though, is that homes that are currently under construction are not immediately livable. That means a home buyer will try and purchase a home that’s move-in ready first rather than purchase a new construction home, especially if they are relocating to Orange County or need to move into home fairly quickly.
For more information on the latest Orange County real estate news or to view the latest Orange County homes for sale, contact Fred Sed & Associates today by calling us at (949) 272-0125.