Home Prices in Laguna Niguel CA

We have seen over a full year of increasing prices in Laguna Niguel and Orange County in general and we don’t expect things to slow down anytime soon. Some talk about a bubble but I don't see it because of all the pent up demand. As the prices climb more and more home owners who have been upside down will have the ability to sell. If enough of these decide to list the inventory could go up and cool the run. It all started when the national talking heads called a bottom to the real estate market back in March 2012.

Previously, short sales and foreclosures had been ranging from 20% to 60% of the market depending on neighborhood. For the last 18 months the distressed property market has been shrinking to the point where we have only a very few coming to market. Today most all of the new listings are standard or "equity" sales. In Laguna Niguel prices rose anywhere from 10 to 15% in 2012 and multiple offers became the norm at the low end of the market. The story this spring is still low inventory. As long as the inventory and the interest rates remain low, prices will RISE. As you can see from the chart below, almost all new listings are eaten up by the high demand.  My prediction is that we will see at least another 15% price increase in 2013.

 Thirty percent of all sales in Orange County CA are all cash sales. Condos under $350000 are typically getting multiple offers and cash buyers have all but blocked out the first time buyer or low down payment buyers. Entry level detached homes under $600000 are very scarce with only 6 active detached listings under $600000 at this writing. There is only one detached home under 600K in Dana Point. Currently there are only 39 single family homes for sale in Laguna Niguel between 600K and 1 Million and 12 in Dana Point.

A professional Realtor is a huge help in managing this torrid market. Properties still need to be staged properly and exposed to as many buyers as possible to secure the strongest offers for the seller. Agents need to carefully review how the offers are written and the strength of the lending package. Mistakes will cost you money.

Many homeowners want to move up or down but are fearfull that they will not find an appropriate replacement home. All I can say is when you focus it will come.

Ron Buck, Realtor®

Ron Buck has been a real estate broker for 16 years with over 450
successfully completed transactions. He is a 11-year resident of
Laguna Niguel and is an expert in south Orange County real estate.
You can contact him at Ron@JonRonRealEstate.com
or 949.456.0505.