With 2016 in full swing, it’s an ideal time to look back on what happened in the Santa Cruz real estate market to have a better idea of what previous trends or changes have had an impact, if any, on today’s current market.
There are numerous reasons why buyers would feel unsure about buying real estate. Among those reasons is a sense of confusion regarding what facts or data to believe in. After all, with so many marketing and advertising materials being offered for reference and review, it can be hard to make a decision.
What Went On Last Year in the Santa Cruz Real Estate Market
How did the Santa Cruz real estate market fare in 2015? As early as February 2015, the site Santa Cruz Live came out with an incisive analysis of what was going on at the time in the local real estate market.
The report that came out early in the year drew heavily upon the performance of the preceding year to come up with the following on target facts:
- In January 2015, Santa Cruz Live reported that there was an upward swing in the median price for single family homes. It was USD 615,000 in 2014 and USD 667,500 in the early month of 2015.
- The report further stated that speculation about what the impact of the resulting “historically low interest rates, tight inventory, and rising prices” would be on the market for the rest of the year.
Around the middle of the year, the question of whether or not there was a housing bubble about to make itself felt again, was discussed in the July 2015 Santa Cruz Real Estate Market Report. Salient points of the report included the following (data valid as of report publication):
- The Santa Cruz County median home prices were at the highest they had ever been since the year 2007.
- The National Foreclosure Inventory was at the lowest it had ever been since December 2007.
- Speculation was present at the time that home prices were pushing up close to against the affordability ceiling of the county. One of the reasons cited for this was tight inventory.
- However, it was also noted that listings went up by 7% in comparison to data from 2014.
Based on such findings, it would appear that the Santa Cruz county real estate market was on shaky ground, and the uncertainty was growing as each month passed by. But did this impression hold up to the end of the year? No, it didn’t.
By Year End of 2015
Property Radar reported that Santa Cruz was among those counties with the highest percentage when it came to cash sales, with an impressive 26%.
This fact is encouraging, considering that even with the influx of high prices, cash buyers were still greatly interested in acquiring Santa Cruz county real estate properties as investments.
There is a continued demand in the market, meaning buyers believed in the suitability of Santa Cruz properties for purchase. That’s a good development, if you’re thinking of buying property in Santa Cruz, whether for your own needs, or for investment purposes. Santa Cruz is not getting any larger and properties are in high demand. So if you have any questions please feel free to contact us with any questions.
There are man locations to consider in Santa Cruz such as Aptos Real Estate, Capitola Real Estate, Scotts Valley Real Estate and Soquel Real Estate