Encouraging new numbers show an unprecedented boost for the Bakersfield housing market.
Appraiser Gary Crabtree's monthly report indicates our market is in full recovery mode. The new report shows Bakersfield is a tight market with little supply.
While interest rates are at an all time low, sales are also increasing. The new Crabtree report shows the median single family home price has increased $25,000 in the past two months. This is good for homeowners, but not good for buyers. Gary Crabtree from Affiliated Appraisers says, "Properties are being purchased in multiple offers, those offers are exceeding the list prices and in many cases the offers are being made for cash."
Karrie Camp is a homeowner in Bakersfield, she's pleased to see the value of her home going up. Camp says, “As a homeowner I feel that it is a positive increase to see things come up and the economy as a whole.”
The new report shows the median price for a single family home in Bakersfield is $145,000.
Meantime as home sales rise, foreclosures have dropped substantially.
Crabtree says “Foreclosures have steadily gone down last month, we had 286 foreclosures in the entire county compared to 583 a year ago, so foreclosures have dropped like 50%.”
While active listings decrease, it creates challenges for buyers such as bidding wars, where cash can make the difference. Camp says, “It does seem very competitive and it is hard for anybody really to afford to buy a house unless they have cash."
On the other hand, Crabtree says the housing supply shortage has helped new construction return to the market with an uptrend in building permits and new construction sales. He says this will aid our local economy by creating jobs.