Our blog serves as a comprehensive resource offering insights into market statistics, home values, and practical advice for buying and selling properties. We also include local information to keep you informed about the community we care deeply about. If you have any questions, feel free to contact us. We’re eager to assist you in finding your perfect home!
The California Association of Realtors® Buyer's Guide is meant to provide their REALTOR® members, or their clients, with a current market snapshot of their local area of business in the state of California as seen from the perspective of a buyer. Reports are updated by every third week of the month with the previous month's data.
Give Malik Real Estate Group a call if you have any questions or would like to chat about the numbers, 805-466-2540.
Congratulations Ashley and Trudy on representing the sellers of this condo in Atascadero. The sellers are long-time family friends of theirs and they were so incredibly honored that the sellers reached out to them first to sell their property. The sellers are very happy, the condo sold at full asking price and sold quickly. Cheers!
Last week was a scorcher! 100+ degrees in October?! The weather can’t seem to make its mind up. It’s hard to get into the fall spirit when the weather wants to stay in the 80s to 90s. I’m finally able to admit, I’m ready for some cooler weather. Hopefully we see some soon!
The Real Estate market on the Central Coast also continues to be hot. Sellers are still enjoying selling their home for close to or slightly below what they originally listed it for. This means the market on the Central Coast is still competitive and not showing signs of letting up.
While looking at the median sales price of a home compared to this time last year, we see that it has decreased in all three cities. Atascadero recorded a 21% decrease, Paso Robles 9% and Templeton 5%. However, if we look at the number of homes sold in September 2024 compared to 2023 both Atascadero (50%) and Templeton (133%) recorded increased sales. But Paso Robles recorded a decrease of 19%. So, it is very interesting that home prices decreased from this time last year, but the number of homes sold increased. Taking a deeper look, we can see that the majority of the homes that sold in September 2024 sold for well under the median sales price from September 2023.
Here are some statistics for Atascadero, Paso Robles and Templeton for the month of September 2024. If you would like to see information on other Central Coast cities, please let us know.
Facts: The average 30-year fixed mortgage rate from Freddie Mac fell to 6.08% this week from 6.09% last week. At 6.08%, with 20% down, a monthly mortgage payment is $1,935 on a home with a price of $400,000. With 10% down, the typical payment would be $2,177.
Positive: This is the lowest weekly average since September 2022. Interest rates are down 1.71% from October 2023. The savings on a $400,000 home would be $366 monthly and $4,392 annually. The mortgage interest rate one could receive this week is well below the historical average (dating to 1971) of 7.72%.
Negative: Mortgage rates are not likely to come down in a meaningful way for home buyers. While there could be minor reductions in mortgage interest rates, those waiting for further improvements in affordability could be priced out further as home prices continue to climb.
Congratulations Ashley and Trudy for representing the buyers of this home in Paso Robles. This transaction pulled on the heartstrings a bit for Trudy. These clients were former students of hers and she was so honored that they reached out to her to represent them during the home buying process. These clients started looking back in February, wrote four offers and finally found their first home where they will start putting down roots. The clients are excited and looking forward to all the rewards home ownership has to offer.
Content by Lawrence Yun.
. Lawrence Yun is Chief Economist for the National Association of REALTORS®.
The Fed's half-point rate cut decision is the beginning of six to eight rounds of further rate cuts well into 2025. The very next cut will occur after the Presidential election. The justification is cooling inflation in recent months and lighter job gains.
Mortgage rates have already anticipated the Fed’s likely path. That is why the 30-year rate has fallen by 150 basis points from early in the year to today. Any further decline in mortgage rates will be minimal. The Fed does not directly control mortgage rates, and the federal budget deficit is huge. Future Fed rate cuts are not only anticipated but will not be as impactful because large federal borrowing will leave less capital available for mortgage lending.
Due to the already low mortgage rates compared to spring, the purchasing power for home buyers has been lifted by around $50,000 for those with a $2000 monthly mortgage payment budget. Consumers who were priced out due to earlier higher mortgage rates could now be back in the market.
The California Association of Realtors® Buyer's Guide is meant to provide their REALTOR® members, or their clients, with a current market snapshot of their local area of business in the state of California as seen from the perspective of a buyer. Reports are updated by every third week of the month with the previous month's data.
Give Malik Real Estate Group a call if you have any questions or would like to chat about the numbers, 805-466-2540.
Facts: The average 30-year fixed mortgage rate from Freddie Mac fell to 6.20% this week from 6.35% last week. At 6.20%, with 20% down, a monthly mortgage payment on a home with a price of $400,000 is $1,960. With 10% down, the typical payment would be $2,205.
Positive: Interest rates are down 1.59% from October 2023. The savings on a $400,000 mortgage would be $341 monthly and $4,092 annually. This is substantial. Inflation is at the lowest level since February 2021—and the Fed is expected to cut the Fed Funds rate imminently.
Negative: Even with the September expected rate cut, mortgage interest rates are not likely to move as this cut has been baked into the mortgage market. Mortgage Bankers Association applications increased, but nearly 47% of the applications are refinancings—not new buyers. The overall housing market remains constrained due to the total cost of homeownership.
Are you on the fence about whether to sell your house now or hold off? Continue Reading
