HAPPY NEW YEAR 2023
Happy New Year everyone and thank you for making 2022 another successful year for Echelberger Group. 2022 was such an interesting year in Talega real estate as we saw one of the strangest market transitions that I have experienced in 28 years of selling real estate. As interest rates started to climb, we saw the influx of buyers from the Bay Area and LA dwindle and demand soften. 2021 had 253 closings in Talega compared to the 136 closings in 2022. However, we saw the average price in Talega increase from $1,401,468 ($468 per SF) in 2021 to $1,683,498 ($572 per SF) in 2022.
The lionshare of movement in Talega happened within the first 6 months of 2022 as the market was the hottest the US had ever seen. The last six months we saw homes taking longer to sell and price points at less than the first 6 months. The average days on market for 2021 was 11 days compared to 19 days for 2022, which is still unbelievably fast for selling a home. When comparing the two halves of 2022, the second half was over three times longer than the first half. Typically, when we see a market correct itself, we see an inventory balloon which causes more competition and pricing to drop dramatically. Talega’s inventory never ballooned and only had 6-14 homes on the market at any given month for 2022. Between 2003-2019, Talega would average anywhere from 35-70 homes on the market, so we are still a long way off from normal inventory as we finished 2022 with only 10 Active listings on the market.
For those that have a mortgage on their home, they are likely now locked in with a rate under 3.5% which makes the idea of moving less interesting unless they have a real need. Therefore, I expect inventory to remain low for 2023 as this market settles out and stabilizes. Overall, the Talega homes compared to other communities still show exceptional value and are highly desired by buyers looking to find a home. I want to thank you again for making Talega such a great community and I am looking forward to the opportunities that 2023 will bring to everyone.
Echelberger Group provides the expertise and resources necessary to make it easier for its clients. More than 20 years of experience in Talega and 52 years living in San Clemente, Doug, and his team have an edge in local knowledge and connections. Echelberger Group provides a comprehensive range of services, from industry-leading technology backed by its partnership with Pacific Sotheby's International Realty and custom marketing strategies to regular updates and prompt communication that makes transactions efficient and stress-free. For more information, visit www.echelberger.com or call/text Doug at (949) 463-0400.
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