By Nef Cortez
I reported last week that the Diamond Bar Condominium and Townhome market saw an increase of almost 11% year over year (2nd quarter 2018 as compared to 2nd quarter 2017) in its Median Sales Price (MSP). What happened to the price of detached homes in Diamond Bar for the same period? According to the California Regional Multiple Listing Service (CRMLS) the Diamond Bar Single Family Detached Home (SFDH) market also saw an increase in the Median Sales Price. The 2nd Quarter 2018 saw the MSP number for this segment of the housing market go up to $750,000 for all of Diamond Bar, as compared to $720,000 for the same period in 2017. The $30,000.00 increase in one year translated into an annualized rate of increase of 4.2%. It did not increase at the same rate as Condo/Townhome MSP. The 4.2% increase was approximately 40% of the rate of increase in MSP for the Condo/Townhouse segment of the market.
The number of sales of Single Family Detached Homes also saw a decrease of approximately 20%, going down to 101 from 125 for the same period of time the previous year. The Condo/Townhouse sales transaction numbers went up almost 21%, with 64 closed sales in the 2nd quarter 2018 versus 53 for the same period in 2017.
It is evident from the statistics as reported by the MLS, the home prices overall continue to climb here in Diamond Bar, although the rate of increase is slowing down, and the housing sales numbers have definitely seen a slowdown. Before prices can start to decline, they must first plateau, and before they plateau or flatten out, they must first start to slow down in their rate of increase. We are at that stage in the housing cycle now.
This article was written by Nef Cortez who is a licensed Real Estate Broker, Ca DRE lic # 00560181, licensed since 1976. He can be reached for more information via e-mail at firstname.lastname@example.org, or website www.nefcortez.com. Please feel free to email any questions regarding real estate.