Inventory on March 2nd, 2013: 201 Homes
On my blog “See spot buy or sell“, I wrote about 95 Waterman #155 listed for $619,000:
“Given the market conditions, it might sell quickly also, at the listing price or even more. There are already talks about how all cash offers are pushing others away from the market. Remember those fairy tales where princes came from a land far away? I can imagine Realtors telling the story of the client coming from land far away with briefcases filled with dollars to make an all cash offer!”
The detached condominium sold for $630,000.
But two other comparative Wisteria homes sold within last six months didn't manage to reach the $600,000 mark. Low inventory has added the premium to all already overpriced Irvine homes. This is Irvine, this too shall sell, as long as there is someone ready to give an all cash offer. All along Irvine Boulevard, there is a lot of building activity. There will be a lot of new homes in the market soon. At this point, it's hard to state the effect of the influx of new inventory. New schools, new apartments in the neighborhood to help increase diversity or resale homes that have schools with proven track record?
Wisterias climb. It doesn't matter if they are climbing clockwise or counter clockwise- they just climb. Like the Wisteria homes in West Irvine.
Listing Price: $519,888
Bedrooms: 2 bedrooms
Bathrooms: 2.5 Bathrooms
Area: 1220 SF
Price/SF: $426
Year Built: 2002
Builder Tract name: Wisteria
I was in awe that the Wisterias went from $329/SF in October 2012 to $364/SF in February 2013.
Speechless as I note that it's listed for $426/SF. Low Inventory Fairy and her magic wand! As an Irvine homeowner myself, I am happy at the renewed irrational exuberance, but as a potential buyer, I feel priced out of this market. It's hard not to remember the Price/SF last year, and the four digit inventory in 2007.
Monthly Expenses:
Mortgage @ 3.625% : $1897
HOA Dues: $174
Property Tax: (1.0593%)$458
Mello Roos: $110
Fixed Monthly Expenses: $2639
What would you do?
Will you buy before you are priced out?
Will you buy a new construction around the same price?
Discuss at Talk Irvine.