Realtor updates City Council on local home market

May 27, 2005
Santa Paula City Council

There is a local housing shortage that is making it difficult for first-time homebuyers, among others, hoping to attain a bit of the American dream.

By Peggy KellySanta Paula TimesThere is a local housing shortage that is making it difficult for first-time homebuyers, among others, hoping to attain a bit of the American dream. Realtor Kay Wilson-Bolton told the City Council at the May 16 meeting that a housing summit is being planned for the fall to “deal with issues of housing affordability.”Santa Paula presently has 24 homes listed for sale, only two for less than $500,000, noted Wilson-Bolton. The price range is from $435,000 for a 756 square foot home to a whopping $1.95 million for a 5,896 square foot residence.Wilson-Bolton said that the average price range for a Santa Paula home is $797,900, and the median price - which means that half the homes are above the figure and half below - is $682,400. The average home square footage is 2,080.With only two homes in the city available for less than $500,000, Bolton-Wilson said the price range makes it “very difficult for families” and other first-time buyers to purchase a home. She added that in Santa Paula only two condominiums are for sale, at $267,000 and $339,000 respectively. The average time for home listings before sale is 30 days.“The good news is that only five of the homes are listed with out of town brokers,” Wilson-Bolton said. “That makes it much easier for the local brokers to retain local revenues to pay for staff and employees, purchase supplies from local businesses, and donate funds to local charities and churches.”
Wilson-Bolton, who owns Century 21 Buena Vista, noted that housing prices will see “probably double-digit appreciation...it’s a countywide problem, not just Santa Paula.”The news is good for those who want to sell their homes, noted Councilman Ray Luna. Luna said he appreciates the community activism of Realtors, who are one of the most supportive groups in Santa Paula: “You’re the first ones we go to for fundraising.”Luna asked Wilson-Bolton about the rental market, “Where are you putting the people?”“Surprisingly enough,” the demand for Santa Paula rentals has slowed, said Wilson-Bolton. “There are a lot of vacancies, surprisingly enough more than we’ve had in years.”The real estate market is also seeing more co-signers for loans, loans for 100 percent of the home value - or even higher - and variable interest rate loans, all the result of rising home prices and shrinking inventory. Variable loans are especially worrisome, as “No one seems to be worrying about what will happen when the variable is fixed” at interest rates that could be as high as 9 percent, she added.



Site Search

E-Subscribe

Subscribe

E-SUBSCRIBE
Call 805 525 1890 to receive the entire paper early. $50.00 for one year.

webmaster