David Deem
Broker Associate
714-997-3486
· Active inventory for sale has increased by 115 homes (up 6%) over the past few weeks and now stands at 1,900, but is the second-lowest mid-January figure since tracking began in 2004, behind 2022. Homes on the market in December were down 36% compared to the pre-COVID three-year average (2017-2019), down 532 homes. Last year, there were 2,536 homes on the market, up 636 homes, up 33%. The pre-COVID three-year average (2017-2019) was 4,739, up 149%, more than double.
· Demand, or pending sales month-over-month, has increased by 149 over the past two weeks, up 17%, and is now at a total of 1,010. Last year there were 939 pending sales, 7% lower than today. The three-year average pre-COVID (2017-2019) was 1,710, up 69%.
· Due to a surge in demand compared to a smaller increase in supply, the expected market length, the number of days it would take to sell all properties in Orange County at the current buying pace, has fallen from 62 to 56 days over the past few weeks. Last year it was 81 days, slower than today. The three-year average pre-COVID (2017-2019) was 86 days, also slower than today.
· For homes under $750,000, expected time on market increased from 39 to 42 days. This range represents 20% of active inventory and 27% of demand.
For homes priced between $750,000 and $1 million, the expected time on market decreased from 43 days to 32 days. This range represents 14% of active inventory and 25% of demand.
For homes priced between $1 million and $1.25 million, the expected time on market decreased from 47 days to 41 days. This range represents 9% of active inventory and 13% of demand.
For homes priced between $1.25 million and $1.5 million, the expected time on market decreased from 55 days to 53 days. This range represents 10% of active inventory and 11% of demand.
For homes priced between $1.5 million and $2 million, the expected time on market decreased from 72 days to 66 days. This range represents 12% of active inventory and 11% of demand.
For homes priced between $2 million and $4 million, the expected time on market over the past two weeks decreased from 105 days to 89 days. For homes priced between $4 million and $6 million, the expected time on market decreased from 357 days to 165 days. For homes priced over $6 million, the expected time on market increased from 374 days to 396 days.
· Luxury homes, or those priced over $2 million, make up 35% of inventory and 13% of demand.
Distressed homes, including short sales and foreclosures, account for just 0.4% of all listings and 0.5% of demand. There are only 6 foreclosures and 2 short sales currently for sale in Orange County, for a total of 8 distressed homes on the market, 2 down from two weeks ago. Last year, there were 11 distressed homes on the market, the same number as today.
· There were 1,310 home resale closings in December, down 6% compared to 1,393 in December 2022. December was down 8% compared to November 2023. Orange County's overall sales price to list price ratio was 98.1%. Foreclosures made up 0.1% of total closings and no short sales closed, meaning 99.9% of all sales were from good old fashioned, equity-equity sellers.
DRE#01266522