Home values are going up quickly in Orange County and across the United States thanks in large part to a lack of home supply, plus huge demand for homes. What most Californians may not know is that the Golden State is leading the way for home price appreciation across the United States.
How Long Will Price Appreciation Continue?
According to a recent report by Veros Real Estate Solutions, price appreciation is expected to continue in California until June 2014 and possibly beyond that. If you ask any Top Orange County Realtor, they would agree since there’s been no stopping more buyers from entering the Real Estate market thanks to mortgage interest rates that are still near historically low despite rising almost 1% since last year.
The report by Veros showed that home prices are up across California. Veros predicts that one of California’s top comeback cities, San Francisco, will lead the way when it comes to the increase in home prices with an increase of almost 13 percent since they have an almost “perfect storm” there of low unemployment and homes that are still affordable, when they can be found. Followed closely behind is our Orange County area which is projected to see an increase of almost 12%.
Reason for Optimism
When asked about their thoughts on the recovery of the Real Estate market, Eric P. Fox, the VP of Vero’s statistical and economic modeling said: “What we are seeing now indicates a return to a healthy market with improvements appearing in a conservative yet correcting manner.” The opinion of Fox should put to rest the speculation of anyone who thinks that the California Real Estate market is heading for another bubble that will burst in 2014.
For more information on the Orange County Real Estate market, or to view the latest Orange County homes for sale, contact Fred Sed & Associates today by calling us at (949) 272-0125.