Housing slump keeps people in Santa Cruz – Santa Cruz Sentinel
Fewer people are fleeing the once prohibitively expensive coastal reaches of Northern California, according to U.S. Census Bureau numbers released Thursday.
Santa Cruz County was among a number of greater San Francisco Bay Area counties that saw more U.S. residents staying put last year than any time since 2001.
For an explanation, observers say look no further than slumping home sales and slipping economic opportunity.
“For people to leave the most desirable areas, there has to be motivation to go, like jobs and housing,” said Jim Chubb, a loan broker at Pacific Inland Finance in Soquel. “With the economy shrinking, that hasn’t happened.”
In Santa Cruz County, the number of U.S. residents moving out between July 2006 and July 2007 is still greater than the number moving in, by 1,977, according to the census report. But that’s just two thirds of how many left the year before and half of how many left the year before that.
Congrats! Santa Cruz is saved! Because people can’t leave as fast anymore! Hah! It’s probably the Mystery Spot that keeps pulling them back in!
More good news!
The median sales price for a single-family home in Santa Cruz County rebounded to $682,500 in February, up from $599,000 in January.
The median is the mid-spending point of what sold, and in February, typically a slow month, 70 homes sold. That’s the fewest number of February sales in 11 years, according to Gary Gangnes of Real Options Realty, who attributes the uptick from January to the change in the mix of sales.
Properties under $500,000 accounted for 19 percent of sales in February, down from 33 percent in January while the high end of the market sprang back into action.
Properties selling for more than $1 million accounted for 24 percent of the sales in February, up from 14 percent in January.
Three oceanview homes in Aptos were the most expensive homes sold: 940 Via Malibu, $2.6 million, 278 Beach Drive, $2.6 million, and 313 Kingsbury Drive, $2.4 million.
And if those homes sold for those prices, just imagine how much the house you buy in Santa Cruz will sell for tomorrow. It’s called leverage and OPM (Other People’s Money). A $500k loan could be worth $2.4 million tomorrow
Is missing out on this opportunity something you can afford?
Didn’t think so! Now’s the perfect time to buy, as usual!
(Thanks to Burbed reader Scott!)