San Diego County Housing Report: Supply Dilemma
March 7, 2023
In the past few years, there has been a severe inventory crisis initially instigated by the pandemic and now due
to the high mortgage rate environment.
What's your home worth today
Lack of FOR-SALE Signs -Since the pandemic, there have not been enough homes available, and 2023 is no different.
The pandemic lockdowns began three years ago, in March 2020. Life came to an abrupt halt. Instantly, grocery shelves were ransacked as everyone prepared for an indefinite time in their homes. Many aisles were empty, most notably the toilet paper aisle. There was a run on toilet paper, and it lasted throughout 2020. In desperation, people resorted to shopping for rolls on eBay or Amazon and were willing to pay whatever price. It was simple supply and demand.
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Similarly, the housing shelves have been seemingly empty since entering the pandemic, with very few homes available compared to pre-COVID inventory levels. In 2020 and 2021, fewer homeowners opted to sell their homes amid the pandemic. San Diego County had 9% fewer sellers in 2020 than the 3-year average before COVID-19 (2017 to 2019), or 4,800 less. In 2021, it rose to 14%, or 7,600 missing sellers. Surging demand had an even more significant impact on shrinking the supply of available homes. From March 2020 to January 2021, rates reached 17 record lows. As rates plummeted, demand surged. As a result, the inventory reached record lows in 2020 and 2021. Click here to download the rest of the report.
March 7, 2023
In the past few years, there has been a severe inventory crisis initially instigated by the pandemic and now due
to the high mortgage rate environment.
What's your home worth today
Lack of FOR-SALE Signs -Since the pandemic, there have not been enough homes available, and 2023 is no different.
The pandemic lockdowns began three years ago, in March 2020. Life came to an abrupt halt. Instantly, grocery shelves were ransacked as everyone prepared for an indefinite time in their homes. Many aisles were empty, most notably the toilet paper aisle. There was a run on toilet paper, and it lasted throughout 2020. In desperation, people resorted to shopping for rolls on eBay or Amazon and were willing to pay whatever price. It was simple supply and demand.
Search Newly Listed Homes
Similarly, the housing shelves have been seemingly empty since entering the pandemic, with very few homes available compared to pre-COVID inventory levels. In 2020 and 2021, fewer homeowners opted to sell their homes amid the pandemic. San Diego County had 9% fewer sellers in 2020 than the 3-year average before COVID-19 (2017 to 2019), or 4,800 less. In 2021, it rose to 14%, or 7,600 missing sellers. Surging demand had an even more significant impact on shrinking the supply of available homes. From March 2020 to January 2021, rates reached 17 record lows. As rates plummeted, demand surged. As a result, the inventory reached record lows in 2020 and 2021. Click here to download the rest of the report.
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