GUEST BLOG / The Times of San Diego--Millennials have turned San Diego ZIP code 92104 — the North Park neighborhood — into one of the 10 hottest real estate markets in the United states.
The National Association of Realtors‘ website Realtor.com said homes in the trendy intown neighborhood are selling in just 22 days, compared to 78 days for the average home nationally.
The website focused on individual ZIP codes and ranked them by the average time it takes to sell a home and how many times a property is viewed.
“Homes for sale in this year’s hottest ZIP codes are selling almost as quickly as they hit the market,” said Jonathan Smoke, chief economist for Realtor.com. “While millennials are usually a significant presence in most markets, their sheer size and buying power have made them a force to be reckoned with in these hot ZIP codes and given them the power to shift supply and demand dynamics.”
The top ten USA ZIP codes include:
76148 — Watauga, a suburb of Fort Worth
94523 — Pleasant Hill, a city East of Oakland, CA.
80233 — Northglenn, a Denver suburb
80916 — A neighborhood in Colorado Springs
78247 — a neighborhood in San Antonio)
94954 — Petaluma in San Francisco’s North Bay
02176 — Melrose, a Boston suburb
63126 — Crestwood, a St. Louis suburb
97222 —Milwaukie, a suburb of Portland
Realtor.com said the ten hottest markets were neighborhoods with a large population of Millennials near strong job markets.
Another report on San Diego housing sales says, despite recent concerns about the San Diego real estate market peaking, a new pair of reports shows sales and price appreciation remain healthy.
Recently, the California Association of Realtors reported that pending home sales in San Diego rose 7.5 percent year-over-year in July, well above the statewide average of 3.5 percent.
Then a few days later, the online real estate site Zillow reported that the median value of a home in San Diego was $513,600 in July, a 5.4 percent increase from the same month a year ago.
That was slightly higher than the nationwide increase of 5.1 percent, but below the double-digit growth rates in Denver, Portland, Seattle and Dallas-Ft. Worth.
Although the new reports showed a healthy local real estate market, experts still cautioned there are signs of problems ahead.
“The Bay Area and Southern California are still growing at a faster pace than the nation as a whole, but growth rates have come back to earth a bit after several years of rapid growth,” noted Zillow Chief Economist Dr. Svenja Gudell.
“While still in positive territory, Realtors’ optimism of market conditions over the next year has been waning over the past few months,” the California Association of Realtors said, noting that fewer buyers were overbidding on homes.