My lender colleague, Stuart Snipper, with Fanklin Loan Center, here in the desert, recently sent me the article below. The dramatic statistics were not a surprise to me, but they are to many home buyers, so I thought I would share it with readers.
Nearly half of the homes sold so far this year in California went for more than their asking price. Such sales usually result from so-called “bidding wars” when multiple sellers submit competing offers. The California Association of Realtors® (C.A.R.) reports that the 49.5 percent of homes that sold over list in 2013 is almost double the number of such sales in 2012 (25.9 percent) and triple the 16.6 percent share in 2011. The 20-year average for above-list price sales is an 18 percent share.
C.A.R’s released this and other data from its 2013 Annual Housing Market Survey. The Survey also found that the tight inventories in the state led to multiple officers in more than 72 percent of sales compared to 57 percent in 2012. This was the highest incidence of multiple officers in at least 15 years and for each home that sold at a higher amount there were an average of 5.7 offers compared to 4.2 offers last year and 3.5 in 2011.
You can reach Stuart Snipper, Senior Loan Officer with Franklin Loan Center at these numbers: Office: 760.779.8169 or Mobile: 760.702.6949 (BRE# 01847230 | NMLS# 275529)