2019 Bakersfield Real Estate Scoop
2019 Bakersfield Real Estate Scoop
Happy New Year from the Glentzer Group! We are excited for what 2019 holds for the Glentzer Group, for our community and for Bakersfield real estate!
We thought we’d kick off 2019 with a Bakersfield real estate outlook and give you guys the scoop on what to expect for our little slice of California.
Let’s start by talking about some pretty great press Bakersfield got this past month. Bakersfield was recently named the fourth hottest real estate market in the nation by Trulia, and we must say, we’re blushing.
In this 2019 market list, Trulia chose the top 10 markets that are best positioned for growth based on jobs, home vacancy rates (inventory availability), starter home affordability, inbound versus outbound home searches and the amount of the population below 35 years old.
Apparently Bakersfield is pretty desirable because we made number four on this list!
Bakersfield has the perk of being set apart from the rest of the state in some ways - realty being one of them. As a whole, we’ve enjoyed a lower cost of living from that of our fellow California cities. It’s one of the many things that makes Bakersfield a great place to raise a family, invest and put down roots.
Our city has growing families, booming businesses and plenty of potential. If you’re looking to buy or sell your home in 2019, the Glentzer Group is here to help with that transition.
Moving on to the Bakersfield real estate outlook. First things first, is it a buyer or seller market?
Is it a Buyer or Seller Market?
The market is pretty balanced right now between buyers and sellers. It’s not heavily leaning either way, and there are benefits in both selling and buying a home in 2019.
Benefits for Buyers + Mortgage Rates
On one hand, mortgage rates are definitely working in the favor of buyers. Mortgage rates are currently sitting around 5%, or a bit lower in some cases. We’re hearing that rates are expected to stay pretty steady this year, with the possibility of a half a point increase. Not too shabby if you ask us.
Home prices are holding pretty steady, too, and for Bakersfield that gives us an even greater advantage in the market compared to other California cities. Bakersfield real estate has a reputation for being especially affordable, and it doesn’t look like that will be changing any time soon.
A Quick Mortgage Rate Example:
A half a point rate increase might sound like a lot to some, but in reality it’s really cents on the dollar, so to speak. We all want to know what it comes down to in the monthly mortgage payment, so here’s a quick example to show what a 1% difference would look like on a $300K home (without taxes and insurance).
4% Rate: $1,432.24
5% Rate: $1,610.46
It comes out to a small $178.22 difference.
As noted above, mortgage rates are looking like they’re going to stay steady in 2019, with just a possibility of increasing by half a point.
Benefits for Sellers + Inventory
Home prices are looking like they’re going to hold, with the possibility of a slow incline as the market naturally ebbs and flows. Established homes are being listed and there are new homes for sale in Bakersfield through new construction going up, which eases the inventory load and creates a healthy market for both buyer and seller.
We’ve got a lot of younger buyers in the Millennial age group in various life stages. Some are starting a family, some are growing their current family and both are looking to buy. Whether it be their first home or moving up into their second, larger home.
How Will 2018 Differ From 2019?
Two thousand eighteen was definitely a sellers market. Home prices were high and mortgage rates were low. Buyers flooded the market and sellers were able to be selective as competition festered between buyers.
In 2019, the market is expected to be much more balanced. There’s benefits and opportunities for both buyer and seller.
Because everyone’s financial situation is unique, it’s important that you speak with a trustworthy and knowledgable real estate agent that is an expert in their city and region.
Google is a powerful search engine that gives us information at our fingertips, but it can’t replace good ol’ fashioned wisdom gained from years of experience. It doesn’t cost a thing to talk to a local Bakersfield real estate agent to ask questions and get a feel for the process. Give us a call or send us an email to get started.
Bakersfield Has Huge Perks
Bakersfield has a reputation for affordable real estate and friendly neighborhoods you can raise a family in. That won’t be changing in 2019. As real estate inventory is at a slow incline, luxury and higher end homes have become more available to buyers. Buyers can get the same luxury home in Bakersfield, as they would in other parts of California, for a significantly lower price.
We have a great mixture of both new homes for sale in Bakersfield, CA and older homes filled with character and beautiful architecture. We’ve got something for everyone.
Advice to Buyers
Work with a trustworthy realtor and rely on their expertise instead of trying to do and learn everything yourself. Zillow is a good starting point, but it’s not always up to date. We’re here to help walk you through this process. Utilize us!
Advice to Sellers
Make sure you’re working with a full time realtor so you’re pricing your home competitively. If you’re getting ready to prep your home to sell, make sure your home is both walk through ready and move in ready. A coat of paint goes a long way and helps you get a better price for your home. Have a look at our complete list of seller prep recommendations here.
We’ve got good things going in Bakersfield. We’re staying positive, looking forward and staying excited about our city. Our region marches to the beat of it’s own drum (especially with real estate) so let’s not get too caught up in nationwide stats.
Are you looking to buy a home or list your home? The Glentzer Group is always here to help. Give us a call at (661) 331-4895 or email us to ask questions about the process or take the next step. We’ll meet you where you’re at. Take a look at our recent listings here, or get to know Glentzers a little better here.
WE’RE WITH YOU FOR YOUR NEXT ADVENTURE.
- KATY & JOHN
Resources + Further Reading: