😲 Pasadena housing inventory is rising, but will buyer demand keep up?
Hi, it’s Eva Lin and today I’m sharing my latest market update with you.
Last month I told you about the drop in new escrows that resulted from the tariff shake ups.
Now, another month has passed, and local housing inventory has risen to its highest point in 2.5 years.
📉 At the same time, the number of new escrows has continued to fall.
Simply put, this shows us that supply is rising and demand is falling.
If these market dynamics persist, the natural outcome is downward pressure on home prices.
In May, we already saw what could be an early indication of this as Pasadena’s median price per square foot fell from its all time peak of $971 in April down to $917 in May.
And remember, the sales data from April was based on purchase decisions made back in March (since most escrows last about 30 days).
As Pasadena’s top selling agent, I can tell you firsthand that the market has rapidly entered a transitional state.
A wave of price reductions has swept through as homeowners pivot to handle the quickly changing landscape of supply and demand.
⚠️ Some homes that would have garnered multiple offers and high selling prices just a few months ago are now only receiving a single offer or sitting on the market.
But, at the same time, there are still homes selling with very strong outcomes.
My client, Jennifer, at 1103 N Catalina Avenue is a perfect example.
Her 3 bed / 2 bath, 1,395 sqft home in Bungalow Heaven just sold for an astounding $1,928,000 ($1,382/sqft).
We received multiple strong offers and opened escrow after just 8 days on the market.
🥂 As you’d imagine, Jennifer is thrilled about the outcome.
Of course, I love to deliver this kind of outstanding outcome, but the simple truth is that every home sale is different and the market is very temperamental at present.
🏡 If you’re planning to sell your home this year, the best thing you can do is make sure it’s presented in the most appealing light both in terms of appearance and price.
As the market shifts, the key is to take swift, proactive action and leverage a strategy that accounts for fewer buyers with less motivation.
Right now, that probably means pricing your home lower than you would have expected to just 60 days ago.
That doesn’t mean you’ll be giving your house away, though.
It only means you’ll be pricing it in alignment with the new market trajectory.
This will set you up for maximum buyer interest, which will in turn lead to the most profitable sale outcome.
😮 Remember, as inventory rises and demand falls, it’s critical that your home stands out from the competition.
If you’d like to discuss your upcoming home sale or purchase, I invite you to reach out to me for a complimentary consultation.
You can call or text me at 626 807-6581.