Local home prices continue to edge higher as local inventory bounces off historically low levels. Our local Board of Realtors reports local inventory at the close of 2021 as 92 listings, compared to 390 listings at the close of 2018, and only 15 homes/condos priced less than $750,000. Simi Moorpark statistics were no better with only 51 active listings. The Conejo Valley ended the year with 47% less inventory than a year ago. Median prices grew dramatically from $750,000 in 2019 to $960,000 at the close of last year. Due to the large number of expensive homes in the Conejo Valley, average prices climbed from $925,000 in 2019 to $1,222,000 by year’s end, that’s a 32% increase over two years. As of January 15, the average sales price was $1,159,040 and the average number of days on the MLS was 26. 26 days is scarcely enough time to get a conventional mortgage which points to the elevated number of cash transactions.
Today I found 146 listings in the Conejo Valley, 94 of which were listed for more than $1ml. We’ve not yet seen the typical Spring-time listing rush but the massive equity growth over the last 5 years will likely bring a few more Sellers to the market in the coming months. The number of sales may be dropping but short supply continues to drive up local prices and the “work from home” phenomenon is bringing an entirely new group of Buyers to our friendly shores (they think our home prices are cheap). I believe the dramatic rise in mortgage rates will eventually hamper demand, and tight supply will continue to hold prices up, so perhaps it’s a stalemate in the near term (no bubble). Waiting for home prices to fall before you buy? Pull up a comfortable chair and a cold beverage; you may be in for a long wait. Wondering what your home is worth now, give me a call.