The past 6-8 weeks has witnessed a drop in buyer activity here on the Monterey Peninsula. For the most part, we believe that prices have bottomed in our market, although our recovery has been stop-and go. And the word “recovery” is really not the right word to use, as projections show prices to remain flat this year, and well into 2013 and possibly 2014. For those deciding whether to sell now or hold on for a few years, I would consider your carrying costs as your home will most likely be worth the same today as it will in 1-3 years. Not an uplifting picture from a seller’s perspective I know. From a buyer’s perspective, however, now is the time. I would act now, before our conforming loan limits are set to change in the fall. Click here to read my previous post on the changing loan limits, but essentially as it is today, you can borrow up to $729,500 at a conforming rate and come this fall you will only be able to borrow up to $483,000 or $625,500 at that rate, anything in excess will cost you more.
Below is a quick snapshot of our market. The data below is compiled from active, pending and sold properties between January 1, 2011 and June 25th.
Active listings: 114
Average Days on Market: 138
Average Price per Square Feet: $704.16
Average Sales Price: $2,462,304
Active listings: 179
Average Days on Market: 123
Average Price per Square Feet: $1,172.18
Average Sales Price: $2,181,238
Active Listings: 121
Average Days on Market: 154
Average Price per Square Feet: $442.09
Average Sale Price: $1,430,104