You are on page 1of 16

Jennifer Pritchett

MARKET UPDATE
COSTA MESA, CA

· Current Real Estate Market Conditions for Single Family Homes


· Trends in Pricing
· Current Levels of Supply and Demand
· Value Metrics

· Report for the week of


February 15, 2010

· Presented by Your Orange County Real Estate Connection


Coldwell Banker Residential Brokerage
jpritchett@coldwellbanke.com
949-212-5279

Powered by Altos Research LLC | www.altosresearch.com | Copyright © 2005-2009 Altos Research LLC
City Overview Single Family Homes in

Jennifer Pritchett Account | Coldwell Banker | 949-212-5279


COSTA MESA,
CA
This Week Real-Time Market Profile Trend
The median list price in COSTA MESA, Median List Price $ 589,000 ==
CA this week is $589,000. The 190 Average List Price $ 637,978
properties have been on the market Asking Price Per Square Foot $ 332 ±+
for an average of 173 days. Average Days on Market (DoM) 173 ≠≠

Inventory of Properties Listed 190 ==

Most Expensive Listing $ 2,999,000


With inventory trending up but days- Least Expensive Listing $ 200,000

on-market trending down and the Average Age of Listing 43


Market Action Index essentially flat Percent of Properties with Price Decrease 28 %
recently, conditions do not seem to Percent Relisted (reset DOM) 7%
have strong up or down pull. Percent Flip (price increased) 5%
Median House Size (sq ft) 1772
Median Lot Size 4,501 - 6,500 sqft
Median Number of Bedrooms 3.0

Supply and Demand


Median Number of Bathrooms 2.0

Altos Research Value Statistics


The market has shown some Market Action Index Strong Buyer's 20.7 ±+
evidence of slowing recently. Both The Market Action Index answers the question "How's the Market?" By measuring
the current rate of sale versus the amount of the inventory. Index above 30
prices and inventory levels are implies a seller's advantage. Below 30, conditions give the advantage to the
relatively unchanged in recent buyer.
weeks. Watch the Market Action
Index for changes as it can be a Trend Key: == Strong upward trend ≠≠ Strong downward trend
leading indicator for price changes. ±+ No change = Slight upward trend ≠ Slight downward trend

Characteristics per Quartile

Quartile Median Price Sq. Ft. Lot Size Beds Baths Age Inventory New Absorbed DOM

4,501 -
Top/First $ 830,000 2375 6,500 sqft 4.0 2.5 41 47 2 2 206 Most expensive 25% of properties

4,501 -
Upper/Second $ 649,000 1900 6,500 sqft 3.0 2.0 47 47 2 4 137 Upper-middle 25% of properties

4,501 -
Lower/Third $ 539,000 1780 6,500 sqft 3.0 2.0 48 48 3 5 157 Lower-middle 25% of properties

4,501 -
Bottom/Fourth $ 407,400 1274 6,500 sqft 3.0 1.5 54 48 5 5 192 Least expensive 25% of properties

Page 2 of 16 Monday February 15, 2010


Single Family Homes in
City Overview
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA

Median Price
This week saw relatively little price change from last week. However, prices continue demonstrate a nice up trend in general
over the last several weeks.

7-day Average 90-day Average

Quartile Prices
Prices have settled at a price plateau across the board. Prices in all four quartiles are basically mixed. Look for a persistent shift
(up or down) in the Market Action Index before prices move from these current levels.

First/Top Second/Upper Third/Lower Fourth/Bottom

Page 3 of 16 Monday February 15, 2010


Single Family Homes in
City Overview
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA

Price per Square Foot


In a market where prices are rising fairly consistently, price per square foot is essentially flat. This often implies that new
homes coming on the market are pricier, and also larger than older homes. As a result the value one can buy stays the same.

7-day Average 90-day Average

Inventory of Properties Listed for Sale


Inventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the Market
Action Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.

7-day Average 90-day Average

Page 4 of 16 Monday February 15, 2010


Single Family Homes in
City Overview
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA

Market Action Index


The COSTA MESA market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action Index
stands at 20.71. With several months of inventory available at the current sales rate, buyers should find ample choice.

90-day Average Buyers/Sellers Cutoff

Market Action Index per Quartile


Not surprisingly given the overall Market Action Index, all quartiles are in the Buyer's Market zone with several months of
inventory given the current rate of demand for homes in the quartile. Watch the quartile for changes before the overall market
shifts. Often one end of the market (e.g. the low end) will improve and signal a strengthening market before the whole group

First/Top Second/Upper Third/Lower Fourth/Bottom

Buyers/Sellers Cutoff
Residential house prices are a function of supply and demand, and market conditions can be characterized by
analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyer’s Advantage
zone (below 30) for a long period, prices are likely in for a downward correction.

The Market Action Index (MAI) illustrates a blance between supply and demand using a statistical function of the
current rate of sale versus current inventory.

Page 5 of 16 Monday February 15, 2010


Single Family Homes in
City Overview
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA

Days on Market
The properties have been on the market for an average of 173 days. Half of the listings have come newly on the market in the
past 108 or so days.

7-day Average 90-day Average

Days on Market per Quartile


It is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.

First/Top Second/Upper Third/Lower Fourth/Bottom

Page 6 of 16 Monday February 15, 2010


Neighborhood Detail Single Family Homes in

Jennifer Pritchett Account | Coldwell Banker | 949-212-5279


COSTA MESA,
CA 92627
This Week Real-Time Market Profile Trend
The median list price in COSTA MESA, Median List Price $ 605,000 ==
CA 92627 this week is $605,000. The Average List Price $ 664,937
87 properties have been on the Asking Price Per Square Foot $ 372 ±+
market for an average of 198 days. Average Days on Market (DoM) 198 ≠≠

Inventory of Properties Listed 87 ==

Most Expensive Listing $ 2,549,000


With inventory trending up but days- Least Expensive Listing $ 290,000

on-market trending down and the Average Age of Listing 45


Market Action Index essentially flat Percent of Properties with Price Decrease 29 %
recently, conditions do not seem to Percent Relisted (reset DOM) 8%
have strong up or down pull. Percent Flip (price increased) 6%
Median House Size (sq ft) 1516
Median Lot Size 6,501 - 8,000 sqft
Median Number of Bedrooms 3.0

Supply and Demand


Median Number of Bathrooms 2.0

Altos Research Value Statistics


The market has shown some Market Action Index Strong Buyer's 20.3 ±+
evidence of slowing recently. Both The Market Action Index answers the question "How's the Market?" By measuring
the current rate of sale versus the amount of the inventory. Index above 30
prices and inventory levels are implies a seller's advantage. Below 30, conditions give the advantage to the
relatively unchanged in recent buyer.
weeks. Watch the Market Action
Index for changes as it can be a Trend Key: == Strong upward trend ≠≠ Strong downward trend
leading indicator for price changes. ±+ No change = Slight upward trend ≠ Slight downward trend

Characteristics per Quartile

Quartile Median Price Sq. Ft. Lot Size Beds Baths Age Inventory New Absorbed DOM

6,501 -
Top/First $ 895,000 2224 8,000 sqft 4.0 2.0 48 21 1 0 248 Most expensive 25% of properties

4,501 -
Upper/Second $ 682,500 1648 6,500 sqft 3.0 2.5 51 22 1 3 256 Upper-middle 25% of properties

4,501 -
Lower/Third $ 537,000 1461 6,500 sqft 3.0 2.0 54 22 1 2 168 Lower-middle 25% of properties

6,501 -
Bottom/Fourth $ 379,450 1126 8,000 sqft 3.0 1.0 55 22 4 2 121 Least expensive 25% of properties

Page 7 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92627

Median Price
Despite this week's down tic, price trends in this zip code have generally been moving up lately. We are below the market's high
point, and we'll investigate the Market Action Index later on to see if we expect this week's blip to become a downward trend.

7-day Average 90-day Average

Quartile Prices
In the quartile market segments, we see price for this zip code in general with price stagnation in recent weeks. Quartile 4 is
down, while the rest of the market is basically flat. Look to the Market Action Index to determine if this plateau is the stage for
a prolonged price decline.

First/Top Second/Upper Third/Lower Fourth/Bottom

Page 8 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92627

Price per Square Foot


In a market where prices are rising fairly consistently, price per square foot is essentially flat. This often implies that new
homes coming on the market are pricier, and also larger than older homes. As a result the value one can buy stays the same.

7-day Average 90-day Average

Inventory of Properties Listed for Sale


Inventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the Market
Action Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.

7-day Average 90-day Average

Page 9 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92627

Market Action Index


The COSTA MESA, 92627 market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action
Index stands at 20.27. With several months of inventory available at the current sales rate, buyers should find ample choice.

90-day Average Buyers/Sellers Cutoff

Market Action Index per Quartile


Three of the four quartiles of this zip code are in the Buyer's Market zone with several months of inventory given the current
levels of demand. Quartile 1 (the highest price group) is showing stronger demand than the others, a Seller's market, as buyers
seem to be placing emphasis on the premium homes.

First/Top Second/Upper Third/Lower Fourth/Bottom

Buyers/Sellers Cutoff
Residential house prices are a function of supply and demand, and market conditions can be characterized by
analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyer’s Advantage
zone (below 30) for a long period, prices are likely in for a downward correction.

The Market Action Index (MAI) illustrates a blance between supply and demand using a statistical function of the
current rate of sale versus current inventory.

Page 10 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92627

Days on Market
The properties have been on the market for an average of 198 days. Half of the listings have come newly on the market in the
past 112 or so days.

7-day Average 90-day Average

Days on Market per Quartile


It is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.

First/Top Second/Upper Third/Lower Fourth/Bottom

Page 11 of 16 Monday February 15, 2010


Neighborhood Detail Single Family Homes in

Jennifer Pritchett Account | Coldwell Banker | 949-212-5279


COSTA MESA,
CA 92626
This Week Real-Time Market Profile Trend
The median list price in COSTA MESA, Median List Price $ 575,000 ==
CA 92626 this week is $575,000. The Average List Price $ 615,206
103 properties have been on the Asking Price Per Square Foot $ 318 ==
market for an average of 152 days. Average Days on Market (DoM) 152 ≠≠

Inventory of Properties Listed 103 ==

Most Expensive Listing $ 2,999,000


With inventory trending up but days- Least Expensive Listing $ 200,000

on-market trending down and the Average Age of Listing 41


Market Action Index essentially flat Percent of Properties with Price Decrease 28 %
recently, conditions do not seem to Percent Relisted (reset DOM) 6%
have strong up or down pull. Percent Flip (price increased) 4%
Median House Size (sq ft) 1900
Median Lot Size 4,501 - 6,500 sqft
Median Number of Bedrooms 4.0

Supply and Demand


Median Number of Bathrooms 2.0

Altos Research Value Statistics


The market has shown some Market Action Index Strong Buyer's 20.8 ±+
evidence of slowing recently. Both The Market Action Index answers the question "How's the Market?" By measuring
the current rate of sale versus the amount of the inventory. Index above 30
prices and inventory levels are implies a seller's advantage. Below 30, conditions give the advantage to the
relatively unchanged in recent buyer.
weeks. Watch the Market Action
Index for changes as it can be a Trend Key: == Strong upward trend ≠≠ Strong downward trend
leading indicator for price changes. ±+ No change = Slight upward trend ≠ Slight downward trend

Characteristics per Quartile

Quartile Median Price Sq. Ft. Lot Size Beds Baths Age Inventory New Absorbed DOM

4,501 -
Top/First $ 735,000 2383 6,500 sqft 4.0 2.5 30 25 1 1 93 Most expensive 25% of properties

4,501 -
Upper/Second $ 634,500 1940 6,500 sqft 4.0 2.0 46 26 1 2 119 Upper-middle 25% of properties

4,501 -
Lower/Third $ 547,000 1810 6,500 sqft 4.0 2.0 47 26 1 3 137 Lower-middle 25% of properties

4,501 -
Bottom/Fourth $ 457,500 1337 6,500 sqft 3.0 2.0 48 26 2 3 257 Least expensive 25% of properties

Page 12 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92626

Median Price
In this zip code this week saw relatively little price change from last week. However, we continue to demonstrate a nice up
trend in general over the last several weeks.

7-day Average 90-day Average

Quartile Prices
In the quartile market segments, we see prices in this zip code generally settled at a plateau, although Quartile 3 is on a bit of
an up trend in recent weeks. We'll need to see a persistent shift in the Market Action Index before we see prices across the
board move from these levels.

First/Top Second/Upper Third/Lower Fourth/Bottom

Page 13 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92626

Price per Square Foot


The market appears to be placing an increasing premium on homes. When list prices and price per square foot consistently
increase in tandem, as they're doing now, you can often find short-term investment opportunities. Watch the Market Action
Index for persistent changes as a leading indicator for these trends to flatten or drop.

7-day Average 90-day Average

Inventory of Properties Listed for Sale


Inventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the Market
Action Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.

7-day Average 90-day Average

Page 14 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92626

Market Action Index


The COSTA MESA, 92626 market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action
Index stands at 20.83. With several months of inventory available at the current sales rate, buyers should find ample choice.

90-day Average Buyers/Sellers Cutoff

Market Action Index per Quartile


Not surprisingly, all quartiles are in the Buyer's Market zone with several months of inventory given the current levels of
demand. Watch the quartiles for changes before the overall market shifts.

First/Top Second/Upper Third/Lower Fourth/Bottom

Buyers/Sellers Cutoff
Residential house prices are a function of supply and demand, and market conditions can be characterized by
analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyer’s Advantage
zone (below 30) for a long period, prices are likely in for a downward correction.

The Market Action Index (MAI) illustrates a blance between supply and demand using a statistical function of the
current rate of sale versus current inventory.

Page 15 of 16 Monday February 15, 2010


Single Family Homes in
Neighborhood Detail
Jennifer Pritchett Account | Coldwell Banker | 949-212-5279
COSTA MESA,
CA 92626

Days on Market
The properties have been on the market for an average of 152 days. Half of the listings have come newly on the market in the
past 105 or so days.

7-day Average 90-day Average

Days on Market per Quartile


It is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.

First/Top Second/Upper Third/Lower Fourth/Bottom

Page 16 of 16 Monday February 15, 2010