Where is the Santa Barbara Real Estate Market Today?
Questions that are asked of me quite often these days are..."How is the market doing right now?...or Where do you think we are with the real estate market here in Santa Barbara?...or Do you think we have reached the bottom with the real estate market in Santa Barbara?" As the Santa Barbara real estate market continued its torrent pace from 1998 through 1996, there were many "experts" along the way that predicted the peak at many various stages. Some as early as 2001 and all points in between up until 2007. Obviously none of them were correct until the early months of 2007. Now on the flip-side of this market, many "experts" have already predicted the worse is over while some have predicted the worse is still yet to come. Alan Greenspan for example predicted in November 2006 that the worst was over...and we all know what has happened since then. So back to the posed questions. Where are we with the real estate market here locally in Montecito and Santa Barbara California? The easy answer is, I don't know. Obviously though, I have my opinions being a santa barbara real estate agent. Here is what I will say...Lately news seems to be a lot more positive as far as real estate goes and also many areas are seeming to stabilize with their prices. Here is what I am reading and seeing: 1) With the bailout of Freddie Mac and Fannie Mae this last week, there is renewed confidence in the market and I feel this will be a plus for real estate. 2) There has been some positive news by several major figures. At the housing forum held by Standard and Poor's and the Chicago Mercantile Exchange this last week there seemed to be a consensus among several major panelists that home prices would stabilize by the summer of 2009. Some of these positive remarks were by major figures including Economy.com's chief economist Mark Zandi, Goldman Sachs economist Charlie Himmelberg, S&P managing director David Blitzer and S&P senior economist Beth Ann Bovino. "The Key is housing affordability...which is now near its long term average" said Zandi. "In some places, Boston, Chicago, Denver, Orange County, affordability has been restored and those markets have stabilized." I personally see many buyers here in Santa Barbara that are ready and starting to get back into the market...especially with all the bad news with stocks and people wanting to put their money somewhere. The biggest issue in my opinion that lies ahead of us now and into 2009 is getting a loan. Many banks are just not lending these days unless you are Uber-qualified or are putting down an enormous down payment. With the high price of housing here in Santa Barbara CA., this can be hard to come by. So that I feel will be the major obstacle, not buyers that are still sitting on the sidelines. Only time will tell, but we seem to be seeing more positive signs with real estate in Santa Barbara with some multiple offer situations, stabilized pricing now in most areas, a decent amount of pending sales most weeks and buyers who are wanting to buy. For information on Santa Barbara Real Estate, Montecito Real Estate and/or our surrounding areas, as well as any other aspects of life in our area, please don’t hesitate to contact Kevin Schmidtchen at Sotheby’s Int’l Realty. Thank you for reading. I hope you find Santa Barbara Real Estate Voice informative. Please feel free to contact me or comment below with any thoughts. Subscribe to Receive Personal Listings of Santa Barbara Area Properties Search the Santa Barbara Area MLS