Laguna Beach Still OC's Slowest Housing Market

Laguna Beach remains the slowest real estate market in Orange County after tying with Newport Beach last week, a report from Altera Real Estate shows. According to the biweekly report, the city is now in last place after slowing even further this week.

The market time for an average Laguna Beach home is now 10.97 months, up slightly from an already sluggish 10.53 months in the week ending August 24th. Newport Beach is doing just slightly better with an average market time of 10.41 months.

This puts them way below the county average of just 2.46 months, which has gone up slightly from last week's 2.43. Altera broker Steven Thomas says that the figures now make OC a seller's market, defining it as one with less than five months of market time.

San Clemente and Dana Point are doing slightly better, although still below the county average. Market times for San Clemente homes went down to 3.36 to 3.54 months, while Dana Point dropped slightly to 5.15 from 5.87 two weeks ago.

Experts believe the high market times for Laguna and Newport have to do with their heft selling prices. The average asking price for Laguna Beach is currently at $4 million, more than twice that of San Clemente ($1.9 million) and Dana Point ($1.2 million).

Countywide, demand seems to be on the rise for homes priced at $750,000 or below. Starting at $500,000, the market becomes “extremely hot,” according to Thomas, with homes getting twice as much activity and a 100% list to sales price ratio.

Thomas adds, however, that a seller's market does not necessarily signal a rise in property values. He says that as more distressed properties enter the market, values will stay low and even go down in some areas.

 

Earlier in Laguna Beach Real Estate News:
Government Programs Can Help Laguna Beach Homeowners
Montage Resort Plans $400 Million Utah Expansion
Emerald Bay Home Slashes Price By $1 Million