According to property data firm CoreLogic, San Diego County had the lowest number of home sales in four years this June, while the median home price hit a new peak.
Experts differ on the ramifications of this data. Alan Gin, economist at University of San Diego, explains that this is a national phenomenon, as home building dried up during the Great Recession, resulting in fewer homes today. The Los Angeles Times reports that the number of days on the market in San Diego County increased by three days to 32 in July, but that the local market remains hot. Meanwhile, local mortgage consultant Matthew Shaver believes that buyers are hitting an "affordability wall," as rates rise and inventory remains tight, adding, “There’s only so much new business to go around."
In San Diego County, 18,031 residential building permits were issued in 2003 but those dropped to less than 3,000 in 2009 during the recession. Gin said a lack of sales has a ripple effect across the real estate job market, even if it has little to do with the overall health of the economy. He said everyone along the job chain, from real estate agents to title agents, could be affected. Jason Cassity, a real estate agent who primarily focuses on downtown, said he has seen some properties sit longer on the market than last year and predicts a tough go for some real estate agents.
