Nick Vertucci Watches On As The Southern California Housing Market Continues to Soar

Nationwide, the housing market continues to grow at record rates especially in some of the most populous regions, and southern California leads the way in pricing gains.

The SoCal Housing Market by the Numbers

The southern California housing market continues to defy expectations as median home prices rose to $550,000, a level not seen since the heady days of the pre-recession housing rush in 2007. At this level, median home prices are 6 percent higher than 2016. The rise in median home prices is even more astounding in some of SoCal’s more exclusive areas.

Two counties saw record highs in median price increases. In Orange County, the median price was placed at $775,000, representing a 5.4 percent increase comparing April 2017 numbers to the same time last year. San Diego county, the second county that saw new records in historical median home prices, saw an increase of 5.9 percent, bringing the median to $590,000, comparing year-over-year figures according to data from the California Association of Realtors.

High prices have added pressure on the housing market, squeezing available inventory that resulted in a 5 percent drop in home sales. Data from Core Logic, a real estate research and analyst group, showed that 20,244 condos and home sale transactions were completed in April 2017, representing an 8.4 percent decline from March 2017 numbers and a 4.8 drop compared to the April 2016 record.

Experts Weigh in: Is it a Bubble?

Real estate experts point out that differentiating the luxury market from the lower end helps to understand where the market is going. Pricing in both groups contribute to the median price, but market dynamics differ. Homes priced below $400,000 up to $500,000 in Southern California are seeing a very strong demand. Lower mortgage interest rates and a stable and diversified job market have encouraged many buyers to jump into the market. There is a sense that prices may continue to rise, and they will, because demand is outpacing supply. Buyers need to be prepared with strong offers and have their ducks in a row when it comes to financing. Note that there are a lot of cash buyers, and competing with them can be a daunting experience as many buyers have seen.

The luxury market behaves slightly differently, and the inventory situation is not as dire in this sector.

Real estate analysts believe that the SoCal housing market is stable. The rate of growth in pricing has not jumped to three-digits during the last five years, indicating that record prices are merely a reflection of supply and demand factors rather than pie-in-the sky estimations that characterize financial bubbles of any type.

Nick Vertucci, a real estate investor and well-known guru agrees that housing prices are reaching sky-high levels. However, Vertucci insists that many niche opportunities still exist for buyers and investors who know how to identify these opportunities and maximize their advantage to the fullest. “It is true that prices are really out there, but this is why we encourage every player, whether you are a buyer or seller, to do your research, and find your optimal bargaining points.”

Opportunities in the Housing Market

If you are in the market as an investor, you should also have an action plan that is triggered once you have control of a property. This is the crux of Vertucci's real estate investment solution that he shares at NV Real Estate Academy. Vertucci, who was enticed to try real estate investing when his fortunes were at rock bottom and who has since earned millions, has developed training programs to share his wealth of knowledge and experience with others. "Fortunes in Flipping" is the core of these programs.
Vertucci and NVREA are based in Orange county, but he and his team travel to other cities to present their programs to audiences who are eager to make their mark in the real estate industry. The team helps participants to customize the points to their local area.

Nick Vertucci believes that even in a surging market like Southern California, investors who have done their due diligence and laid out their plans can still realize significant returns. Vertucci personally appears at all of the training events. The real estate programs and Vertucci himself have received accolades from participants who have put his program to the test. Nick has recently expanded to the Washington DC area as well, so he's definitely on the move.


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