Looking back, 2014 was an interesting year for real estate in Orange County. The number of purchases went down from the previous year when the market was super hot and home loan rates remained very low throughout the year. As the 2014 year comes to a close many would be buyers and sellers in the coming year are wondering what they can expect next year.
Once we get into the middle of January the number of homes for sale goes way up in Orange County. This didn't happen last year, when the new year began it was pretty quiet for the first 2 months. Typically, everyone puts off selling and buying during November and December and then in January sellers and buyers begin looking again. This year I expect January to see a decent amount of homes hitting the market especially since last year that didn't happen. Real estate comes in waves, this year started slow, last year started with a bang, so this next year should start moderately up from this year.
Home prices have stabilized and sellers aren't asking way more than they're homes are worth anymore. With more realistic prices we should see more inventory of homes coming and going faster that this year. Last year many analysts expected home loan rates to jump over 5%. Surprisingly, home loan rates have stayed flat with the average in Orange County around 4.25 - 4.5%. Historically, this is still an excellent home loan rate. I predict the loan rates to remain relatively flat for at least the first half of the year.
In Ladera Ranch specifically I expect home prices to be stable the first few months of the year. Neither going up in price or coming down. If we see start demand the first two months of the year then prices will increase slightly. The inventory should also increase this year which will more than likely make the average days on market increase a little as well.