“It’s been one whirlwind of a period, monstrous increase; it was an unexpected as it was gargantuan,” remarked a realtor in the Santa Barbara Real estate region. While the global pandemic put a hold to daily routines and jeopardized many business and economy, an unexpected region that ironically feels a complete opposing turn of events is the Santa Barbara housing market. This boom has seen a 45% increase in housing sales since June, and has continued to bewilder analysts and realtors.
Santa Barbara is a coastal city surrounded by the steep highlands of the Santa Ynez Mountains and the Pacific Ocean in the southwestern state of California. It has a population of approx. 91,000 and is a popular destination for tourists. The Santa Barbara Real estate has seen a lot of its inhabitants pass up their properties either for sale, from foreclosures, but mostly as rentals. With an above 95% rental-occupancy rate, the Santa Barbara real estate is the most expensive of housing areas in the state. Another interesting fact is that houses placed on listings do not take as long as they took a year ago before they are sold off. Realtors reported that previously houses especially above the $1milion could take as two years before they can manage to attract the right buyers.
Luck, Coincidence or Pattern…
Although many realtors have attributed the explosion of the Santa Barbara Real Estate to pure luck, other realtors believe that many intangible factors fuelled in subtle ways by the pandemic might have played a part.
The fear of the unknown
In the early months of this year 2020, due to the devastating Corona-Virus, uncertainties were high, trust was running low and the government was almost panicky, this led a lot of property owners to start thinking ‘downsizing’ and cutting of costs. During this period, some houses were listed on the market and this could not have coincided with a better time than when people sought privacy the most.
Bye-bye, off with the family
Some Realtors and agencies confessed that most of the homeowners expressed their desires to relocate and move on to be closer to the family. As the family sentiments are the greatest motivation, it is hard to fault this reason.
Maybe another gold rush
There were claims from homeowners that most of the people who have shown interest in their properties so far are mostly foreigners to the region who are seeking a better and different community. With the current infrastructure growth and low unemployment ratio of the city, it is easy to see why.
People capitalizing on the crazy housing conditions
Finishing in the top 5 of the number of house listings priced at $10 million and more, and 112 available rental units out of a possible 22,401 unit, Santa Barbara Real estate, and housing is the most expensive in the whole of California. This has given homeowners the needed incentives to sell “High Demand”, and mostly at ‘more than fair’ prices.
While there can be no assurances about the figure being a fluke, analysts have predicted that due to the craze of land in the Santa Barbra region and its bubbling economy and developments, the rise in the cost of the Santa Barbra house will continue. This might be a time to invest in a Santa Barbara house as the current boom is not likely to drop anytime soon.