This is the MOST UNUSUAL
Housing Market
We’ve Seen in Years!

This Week in Orange County Real Estate

The Orange County housing market continues to heat up even as we enter the winter season. A $5 million duplex in San Clemente’s Pier Bowl sold in just five days, showing that buyer demand remains strong despite tighter inventory and cautious interest rate movements.

With inventory dropping, escrows rising, and the Fed preparing for a rate cut, this week’s trends show both buyers and sellers have opportunities to act before the next market shift.

Key Highlights

• Record Sale: $5M duplex in San Clemente’s Pier Bowl sold in only 5 days — a sign of accelerating demand for coastal properties.

• Inventory Drop: Active listings fell to 448, tightening supply across Dana Point, Laguna Niguel, San Clemente, and San Juan Capistrano.

• Demand Surge: Homes in escrow climbed to 177, marking one of the strongest winter upticks in recent years.

• Rates Trending Down: Inflation data points to a Fed rate cut in the coming weeks, gradually improving affordability.

• Deal of the Week: $2.5M fixer in Niguel Shores, offering $4M+ resale potential after renovation — a standout investment play for 2025.

Frequently Asked Questions

Q1: Why are homes in San Clemente selling so quickly right now?
✔ A mix of low inventory, high buyer motivation, and lifestyle relocations is fueling competitive offers. Beachside enclaves like Pier Bowl and Southwest San Clemente remain top targets for out-of-area buyers looking for coastal living.

Q2: Are interest rates really going down?
✔ Yes, but gradually. The bond market has already priced in the expected Fed rate cut, meaning rates are trending lower rather than dropping sharply. For buyers, this creates a window to lock in lower rates before prices adjust upward.

Q3: Is Dana Point’s Niguel Shores a good investment area?
✔ Absolutely. Niguel Shores offers rare private beach access, low HOA fees, and consistent long-term appreciation. Properties with renovation potential — like this week’s $2.5M fixer — can see $4M+ resale value, making it a standout coastal investment.

What This Means for Buyers and Sellers

For Buyers:

• Lower rates may boost your purchasing power — act before competition increases in spring.

• Fixer and value-add homes in Niguel Shores and San Clemente offer strong upside.

• Focus on neighborhoods with sustained demand and limited new construction.

For Sellers:

• Low inventory means strong leverage — even small improvements can generate above-ask offers.

• Consider listing before spring when competition rises.

• Highlight location and lifestyle appeal, especially proximity to beaches or golf courses.

---

Whether you’re exploring luxury real estate in Dana Point, searching for horse properties in San Juan Capistrano, or comparing Laguna Niguel neighborhoods with top schools, staying informed is key to navigating today’s fast-moving market.

If you’re thinking about making a move in today’s market, you have to know how to use the current conditions to your advantage. Buyer behavior, market timing, and interest rates are all shifting, and staying informed can make a big difference.

Don’t hesitate to call (949) 835-4713 or email simon@sellwiththerightguy.com — let’s talk strategy and figure out how you can win in Orange County real estate this year.