Big Bear home sales were up significantly in March with a 25% increase in closings over March of 2015. Meanwhile, the inventory of Big Bear homes for sale remains remarkably low with 15% fewer listings in March than there were in March of the previous year.
Although sales are up and inventory is down, price appreciation seems to be slowing.
The average sale price of Big Bear homes this March dropped 3% to $296,129 while the median dropped 5% to $231,450 as compared to March of last year. The average price per square foot of Big Bear homes this past month also slid 5% to $192 while the median rose 3% over March of 2015.
Looking at a larger sample size of sales from the first quarter of 2016, we see slightly better numbers.
Sales of Big Bear homes are up 12% in the first quarter as compared to the first quarter of 2015.
The average sale price is up 1% to $302,766 while the median is down 3% to $240,000 in our first quarter comparison. The average price per square foot is up 3% to $198 while the median rose 5% to $196.
The average Days On Market is lower in the first quarter of this year down from 125 last year to 114 this year. The median also dropped from 98 to 86.
Other market dynamics that bode well for Big Bear real estate are mortgage rates and increased visitorship to Big Bear. Although the Fed raised interest rates, mortgage rates have fallen to the 3.25% to 3.5% range. As well, the number of visitors to Big Bear has risen noticeably, presumably due to the purchase of our local ski resorts by Mammoth Mountain investors.
So although prices seem to be leveling off, with sales increasing, inventory remaining low, mortgages near historic lows and near record visitorship to Big Bear this past winter, I am optimistic that the Big Bear real estate market will continue to strengthen throughout the year.