This is the second year in a row that Simi Valley Home Sales Spiked in December. Does this indicate a turn around in the Simi Valley housing Market? Not necessarily and here are the reasons why.
- December 2007 only 42 Single Family detached homes close escrow in one of the lowest volume months for Simi Valley home sales.
- December 2008 only 66 Single Family detached homes close escrow in Simi Valley.
- December 2009 = 98, December 2010 = 94 and December 2011 = 104
What happened, why the increase? Not only has interest rates and pricing helped bring more closed escrows, but additionally the distressed market pushes to close out files before year end in the Short Sale and Foreclosure sectors. With almost a quarter of the single family detached homes selling in December at a price point below $300,000 and 52% of all the sales for December either a Short Sale or Bank owned property, it’s too early to celebrate a recovery.
Simi Valley has certainly hit a low and has been setting a repeating trend over the last 6 months, but any sign of movement up or out of the current situation is not showing. Looking at the entry level single family Simi Valley homes sold in December 2011, the longer days on market and the lower list to sale price ratios show that buyers are still looking for bargains.
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