A couple weeks ago we wrote about the decrease in homes on the market in Orange County and since then the inventory has only decreased even further. The amount of homes in the OC has dropped so far that we've hit record lows!
The Orange County real estate market currently holds under 4,000 homes as of 10/29. Just in the past two weeks the market fell by close to 200 homes. Of the remaining homes on the market few are expected to be sold or to be a good deal. The "cream of the crop" has already risen and what's left are overpriced homes, unmotivated and/or unrealistic sellers, and other listings with problems.
The worst part may not even be here yet as this record low hits us just before the slow season of real estate, the holiday season. More than likely more sellers will either wait till the holidays are over to sell their home or for them to take their home off the market completely. Buyers aren't going to find the deals that they're looking for and therefore may become discouraged by the market altogether.
We will see over the next couple of months just how low it'll get before it starts to rise again. Below is a graph of the OC inventory dating back to 2009 up to today.
Graph provided by: Steven Thomas