Home prices continue to rise but signs point to prices leveling

Rick Monroe

Special to the Village News

Home prices are continuing to escalate, according to the Local Market Update for July, but there are signs that recent price increases could be leveling. A local Realtor believes Fallbrook is on the road to having a more balanced housing market.

It’s all about supply and demand, according to Chris Hasvold, owner of Coldwell Banker Villager Properties.

“For the first time in months, there are more listings in July than a year ago July,” the Realtor said. “Yes, it’s still a seller’s market, which means more buyers are looking for a home than homes available, but figures show that may be evening out.”

Figures from the North San Diego County Realtors in its monthly HomeDex market statistics show that in the 92008 ZIP code, there were 107 homes listed in July 2021 compared to 105 in 2020.

The average sales price of the 92 single-family detached homes sold in July 2021 was $907,463, compared to $657,780 in July 2020 for 112 homes. That’s a 16.5% increase in prices.

Homes are selling quickly, with the number of days on the market before being sold 23 days in July 2021. Last year, that number was 37 days. Homes are selling above the asking price by 103% in July 2021, compared to 99.6% in July 2020.

The inventory of homes in Fallbrook was 100 in July 2021, compared to 184 in July 2020.

Looking at year-to-date numbers for 2021, there have been 990 sales, averaging $776,520. That compares to 861 homes for the same seven months in 2020, with an average price of $635,642.

The statistics for attached single-family homes were similar but with far less sales – only four for each July in 2020 and 2021.

Figures in Bonsall (92003) also showed more home sales, eight this July compared to four in July 2020. The average price of the eight closed sales in July 2021 was $1,152,050.

Hasvold said the market is buoyed by interest rates right about 2% on a 30-year loan.

The HomeDex figures for July 2021 in all North County shows:

• Median sales price: $850,000 (up 22.3% from 2020).

• Median sales price (detached): $975,293 (up 28.3% from 2020).

• Median sales price (attached): $582,000 (up 13.5% from 2020).

• Housing affordability index: 45 (45% of households can afford the median-priced home – down 18.2% from 2020).

• New listings: 1,717 (down 18% from 2020).

• Homes for sale: 1,539 (down 47.3% from 2020).