Anaheim Hills Market Report
Every day I get asked these questions.
Are the prices going to stop jumping? Is the housing market gonna crash?
Is this a good time to buy?
Is this a good time to sell?
Or is this a good time to invest?
All great questions.
COVID, as you know, has recently entered the market in the last two years, and it seems like this is gonna be the new norm. What’s the new norm? Well, it’s the norm where buyers are not sure where the market is headed. And sellers are not sure what to do whether to sell now and buy another one, which they’re having a hard time finding a house or just staying put. So what has happened is due to the COVID the inventory has been drastically down, in fact, in Anaheim Hills, and of course, I’m going to talk about Anaheim Hills. But the general trend in Anaheim Hills is also pretty much the same trend in Orange County and pretty much most of California. So the trend has been as you already know, low inventory due to COVID restrictions, low historic interest rates, so the buyers are jumping to buy instead of renting and pay high rental rates. So that has created the new norm which is a shortage of homes, prices are jumping, and buyers are still buying with the new homes, and sellers are challenged with selling their homes and top prices. But when they buy and if they buy whether they are moving up or whether they’re moving down, they’re also paying high prices. And despite this market, and if I talk about the animal market, which I mentioned earlier pretty much is generally the same in Orange County. Anaheim Hills is a desirable community in the desirable city part of Anaheim. And if you’re looking to buy or to sell, this is a good time to sell.
Buyers are coming to Anaheim Hills. Anaheim Hills is one of the most affluent cities not just in Orange County, but in all of California and the USA. It has great parks, hiking trails, golf courses, horse trails, it has green hills, especially after the great rain we had yesterday. So it’s a very scenic town and a very desirable town to move into. But I understand that some of the sellers may want to move because they are retiring or they have a job transfer, or they want to move to their family out of the area or out of state. So it’s a great time to sell. And it’s a great time to buy. And I understand that’s a conflict. But that’s how the market is. And as far as the price is in Anaheim Hills. As I mentioned earlier, the median home price of Anaheim Hills, as of today, is approximately $1 million, which is a lot of money for a house that’s approximately 1800 or 2000 square feet, pending condition the year it was built. And also just two years ago, or two and a half years ago, the median home price in Anaheim Hills was around $830,000. So there’s a big jump. In fact, in California in the last two years, the prices have gone up almost 30%. throughout California, some places are up 40%, just in two years, which is a very high amount of appreciation for home. So if you’re a seller, this is a great time to sell, make your money, and then take your equity and then buy another house, whether you’re moving up or down in case you’re a buyer and you’re concerned about what’s happening with the market, it’s still a great time to buy because you’re going to take advantage of these low-interest rates. And if you’re renting right now, I’m sure you’re paying very high rents $3000, $4000, $5000 for a typical home in Orange County or Anaheim Hills.
Going back to the questions, as I mentioned earlier, is the market going to crash? Or the price is going up? Is this a good time to sell or buy? Well, let’s look at it. Is this a good time to buy? Well, as I mentioned earlier, low-interest rates. And instead of paying high rent, this is a good time to buy even though the inventory is low. And finally to address the question of is there a market crash? Well, nobody can tell if there’s a market crash or not. But according to my conversations with a lot of the other agents that I talked to a lot of the buyers and the sellers and a lot of real estate gurus that I talked to, one of the reasons we may not have a crash, it’s because there’s a lot of equity in the houses. As you know, prices have jumped in the last I would say four years by almost 40%. So even if people lose jobs or lose their business and cannot make payments they can stay in the house for one or two years. And even after that when they sell they’ll have enough equity. So I don’t see a crash coming because of that one-word equity in the house. And these jobs. Stock markets are high and people are still buying and selling as you saw in the last two years. People have bought in the last two or three years with multiple offers prices jumping, and we see that new trend in the next two years. That’s the new normal. Let’s see what happens six months down the road when I do another market update.