Santa Cruz County Market Update – December 2022
Below are the Santa Cruz County Market Statistics for the month of December ’22. Here are the highlights:
– Active Inventory dipped 14.2% from November ’22 to December ‘22. Active Inventory is up 103.6% from December ’21.
– The median SFH sales price decreased to $1.16M from $1.24M the month prior. December ’22 median home price is down 3.3% from December ’21.
– Number of Sales decreased by 3.4% from November and is down 36.8% from December ’21.
– Days on Market in December ’21 was 31. Days on Market in December ’22 was 37.
December was the month of low activity. The combination of seasonality and high-interest rates contributed to the suppression of both supply and demand. That said, when compared to last year, buyers still had a lot more choices. More choices does not mean more NEW choices. The number of new listings in December was 70. That was the second lowest month in the last three years, only greater than December ’21. 2022 was the lowest number of listings on record! Interest rates have caused the market to slow as monthly payments become more and more costly. It has also caused sellers to hold off because why would want to trade in your mortgage rate for a much pricier one? The good news is that there is evidence of cooling inflation. If that evidence continues to compile, expect the mortgage rates to eventually fall and buyers to rush back into the market.
