Everybody wants to know – ‘how’s the market’? Santa Barbara has certainly taken its lumps in the last few years, but things might be starting to look up. The following chart shows how the number of sales for January of 2012 compares with every January back to 2008. Something’s definitely ‘up’.
- Santa Barbara Home Sales for January 2008 through 2012
The next chart shows median sales price and while the median is not up, it’s better than this time in 2010.
Santa Barbara Median Price for January 2008-2012
Santa Barbara condos are another matter. The number of sales is down to 2009 levels for January, and the median price is still slipping.
Santa Barbara Condo Sales for January 2008-2012
Santa Barbara Condo Median Price for January 2008-2012
So is it a good time to buy? Many people are still worried that prices haven’t ‘bottomed out’ yet. But the combination of historically low prices and historically crazy low interest rates are setting up an ideal situation for buying that may soon come to an end. Inflation is rising, and eventually, interest rates will have to rise to control it. If you put any faith in Warren Buffett, now is the ideal time to buy:
“Warren Buffett, CEO of Berkshire Hathaway, said recently on CNBC that buying single-family homes is such a great investment right now, if it were practical, he’d buy a couple hundred thousand of them. Given how low rates are for a 30-year fixed-rate mortgages (3.95 percent, according to the Freddie Mac Mortgage Index), Buffett told CNBC’s Becky Quick that homes, held over the long term, provide a better investment than stocks. If you factor in that prices in some areas are at a 10-year low and inventory levels are high, the conditions are ideal for buying.”
While no one can tell where the ‘bottom’ is until you’re out of it, Warren’s got a pretty good track record. If you’d like more information on the Santa Barbara real estate market, let me know how I can help.
Karen Blackburn, Realtor
KELLER WILLIAMS REALTY
1435 Anacapa St.
Santa Barbara, CA 93101
280-470-1002
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