4th Quarter 2018
Nationwide
After four straight months of decline, home sales nationwide leveled off during the 3rd quarter of 2018. Sales are down approximately 1.5%, and Median Home Price is up about 4.6% compared to a year ago. After several years of decline, inventory levels are finally starting to stabilize and modestly rise. However, higher prices and rising interest rates are creating an affordability issue. According to the National Association of Realtors “Rising interest rates along with high home prices and lack of inventory continues to push entry level and first time home buyers out of the market….current renters want to become home owners – but there simply are not enough properties available in their price range.”
Santa Barbara - South Coast
Despite a problematic shortage of inventory nationwide, local inventory levels continued to rise in the 3rd quarter, as Total Active Listings grew 40% to 1033 properties. The number of New Listings increased substantially in every community along the South Coast. Even with the significantly improved selection, sales were sluggish, as the Number Sold slid 7% to 431. Thanks to some large sales in Montecito and Hope Ranch, Average Sale Price rose 5% to $1,438,404. Median Sale Price inched down 1% to $970,000. Overall, Sold Volume declined 3% to $619,952,110. On average, properties sold for 95% of their last list price – that is a decline of 1% compared to a year ago. The largest sale along the South Coast during the 3rd quarter was 881 San Ysidro Lane, in Montecito, for $16,300,000.
Montecito
A decline in sales, coupled with an increase in new listings, led to a significant improvement in Montecito housing selection during the 3rd quarter of 2018. Total Active Listings jumped 67% to 189 properties. Despite the improved selection, the Number Sold fell 32% to 40 properties. Of those 40 properties sold, there were several large ones: 1599 East Valley Road ($14,000,000) 881 San Ysidro Lane ($16,300,000) and 710 Picacho Lane ($15,850,000). These estate sales helped dramatically raise the Average Sale Price, which climbed 25% to $4,289,732. Median Sale Price fell 14% to $2,857,500. Overall, Sold Volume slipped 15% to $171,589,283. On average, properties in Montecito sold for 91% of their last asking price – unchanged from a year ago.
San Roque / Upper East
The Upper East/ San Roque area (MLS Area 15) was the most stable of all the communities along the South Coast during the 3rd quarter of 2018: sales and prices were almost unchanged compared to a year ago. Total Active Listings rose 33% to 250 properties. Despite the improved selection, the Number Sold, 117 properties, was only one less than a year ago. Average Sale Price inched down 1% to $1,308,253. Median Sale Price bumped up 1% to $1,184,000. Overall, Sold Volume fell 2% to $153,065,690. On average, properties in the Upper East/ San Roque area sold for 96% of their last asking price – a decline of 1% compared to a year ago. The largest sale in the Upper East was 2010 Garden Street for $3,600,000. The largest sale in San Roque was 3 Carrizo Drive for $2,444,000.
Mesa/ Samarkand
Activity on the Mesa/ in Samarkand (MLS Area 20) was mixed during the 3rd quarter of 2018. Despite a healthy increase in inventory, sales slid, and prices remained relatively stable. Total Active Listings rose 23% to 178 properties. Even with the improved selection, the Number Sold fell 12% to 90 properties. Average Sale Price inched down 1% to $1,073,925, Median Sale Price bumped up 2% to $975,700. Overall Sold Volume declined 13% to $96,653,310. On average, properties in MLS Area 20 sold for 97% of their last listed price – a decrease of 1% compared to a year ago. The largest sale on the mesa was 222 La Marina for $2,550,000. The largest sale in Samarkand was 2750 Cuesta Road for $1,825,0000.
Santa Barbara/Goleta North
The 3rd quarter of 2018 was mixed for homes in the Santa Barbara Foothills and Goleta North (MLS Area 35). Inventory levels and prices rose, but sales declined. Total Active Listings increased 26% to 143 properties. Despite the improved selection, the Number Sold slipped 5% to 74. Prices were strong, as Average Sale Price climbed 3% to $903,173 and Median Sale Price jumped 8% to $870,000. Overall, Sold Volume inched down 2% to $66,834,826. On average, properties in MLS Area 35 sold for 97% of their last list price – a decrease of 1% compared to last year. The largest sale in Area 35 during the 3rd quarter was 1045 Via Chaparral for $3,385,000.
Hope Ranch
The 3rd quarter of 2018 was strong for Hope Ranch: sales and prices both increased dramatically. A 28% jump in New Listings led to 14% improvement in Total Active Listings to 31 properties. The Number Sold, 9, was a significant rise from the 4 properties sold during the same time last year. Average Sale Price skyrocketed 46% to $5,155,277. Median Sale Price climbed an impressive 25% to $3,200,000. Sold Volume rose 228% to $46,397,500. On average, properties in Hope Ranch sold for 94% of their last list price – an increase of 2% compared to a year ago. The largest sale in Hope Ranch during the 3rd quarter was 4230 Cresta Avenue for $13,600,000.
Sincerely,
Daniel Encell
Director, Estates Division
Berkshire Hathaway HomeServices
(805) 565-4896
P.S. With over 30 years of selling homes in Montecito, and over $1.4 Billion in local sales, I can help you with all of your real estate needs. Call me at (805) 565-4896. All calls are confidential.
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