By Mike Sannes, March 10, 2016
Thanks for checking in with us regarding the Big Bear real estate market. Let’s take a look at the start of 2016.
Residential sales in Big Bear jumped 3.2% in January compared with the same month a year earlier, and 6.5% year-over-year. A boost in sales in Big Bear City (up 43.8% compared to January 2015) contributed the bulk of this increase. In January, 66 homes closed escrow up from 62 in January of 2015. However, January 2016 sales are down 43% from December 2015, when 115 homes closed escrow. That said, it is typical for sales to slow in the winter months here in Big Bear.
The average price of all homes sold this January vs. January 2015 improved by 3.9% overall. Sugarloaf saw an impressive 21.5% increase from January 2015. Although, keep in mind that what happens in the Big Bear real estate market in January and February does not, by any stretch, determine what will happen in the market by year’s end. It is, however, always great to get off to a good start, which it what this January has brought us.
There are currently 391 active residential listings on our Big Bear MLS which is on the low side, even for the winter months when, typically, fewer homes are on the market. Based on a typical 45-day closing period and given the number of homes currently under contract (157), this equates to a 3.7-month supply. Under four months of supply indicates a seller’s market. The supply of quality inventory available as we head into spring and especially going into summer will have a great deal to do with what happens with prices in Big Bear this year. I expect demand to remain high/consistent in 2016, but overall supply will be interesting to watch. When the competition (a.k.a., the inventory) is low, it is always a great time to market and sell property. There certainly are buyers in the market right now looking for homes to buy – with not too many good ones to choose from – so let me know if you have been considering selling as there is presently a nice opportunity to do just that.
I do expect the number of listings to substantially increase in the coming months. Also, interest rates are likely to remain at or around the ridiculously low levels at which they are currently. Typically, we don’t see rates move very much in election years, so that "should" be the case again this election season. This combination should make for a strong year for Big Bear real estate. And with rates still so low, it is a great time to buy the get-a-way you have always wanted here in Big Bear. Do let us know if you would like a custom list of the very best properties available, as we are happy to help and always look forward to hearing from you.