Newport Beach, CA (PressExposure) December 23, 2009 -- Newport Beach has always been one of the most coveted areas in Orange County real estate, and industry experts are confident that the city will keep its spot well into the next year - despite having had a tough run in 2009 like the rest of Southern California. For one thing, they expect a much higher demand for Newport Beach real estate as the market stabilizes and homes have better potential to increase in value.
The past twelve months have been rough for Newport Beach homes, as the housing crisis forced many sellers to slash their prices, and distressed homes (such as short sales and bank-owned properties) flooded the market. The past few weeks, however, have been much more promising. Market reports even rank Newport Beach real estate as Orange Countyâs most improved market in the last quarter.
Even with home prices getting slashed and distressed sales on the rise, Newport Beach real estate remains on the higher end of the Orange County market, with its average sales price of $2 million (as of late 2009) well above the countywide average of just over $400,000. This puts it right up with prestigious South Coast cities such as Laguna Beach as one of the most expensive areas in coastal California.
Real estate listing service Trulia.com showed 813 Newport Beach homes for sale in the past week, a 42.9% increase compared to the same period last year. Of these, 353 are distressedâin pre-foreclosure, bank-owned, or up for auctionâa significant drop from last monthâs share. The past two months saw 170 successful home sales, so a good portion of the current inventory is expected to sell by year-end.
One of the main reasons cited for the improvement is that the inventory of upscale homes is shrinking, making it less of a buyerâs market. This means fewer Newport Beach homes are sitting in the market and gradually losing value, and more buyers are attracted to the area. The market is also quite diverse, ranging from first-time home buyers to seasoned investors looking to buy and sell Newport Beach real estate.
Of course, an improved market doesnât mean one should rush into buying property. Home buyers looking to invest in Newport Beach would do well to consult a Newport Beach realtor who knows the market well and can help them find the best deals. Companies such as NewportOC.com(http://www.newportoc.com/) offer a wide range of services to help interested buyers better understand the market.
One thing potential buyers need to take into account is the market time. Newport Beach homes are still relatively slow to sell because of their high prices, which is natural for high-end homes. This year, the average Newport Beach home spent an average of 9 months in the market before being sold, even with a Newport Beach realtor. Corona del Mar, one of its more prominent areas, is one of the countyâs slowest with an average market time of 14 months.
The market times are showing signs of improvement, however, especially in the past weeks where home buying was particularly active. This makes it a great time to shop for homes, as the prices are still relatively friendly and buyers are in a better position to bargain for better deals. With an experienced Newport Beach realtor, one can easily find a Newport Beach home in a good neighborhood for a competitive price.