Santa Cruz County Housing Market Holds Steady Amid Federal Reserve Rate Hike
The Santa Cruz County housing market remained steady in August, despite the Federal Reserve's decision to hike interest rates by a quarter percent. According to data from the Santa Cruz County Association of Realtors, there were 462 available homes on the market, up from 444 in July.
Properties sold faster in August, averaging 34 days on the market compared to 46 in July. The countywide median sales price was roughly the same as it was in July, coming in at $1,350,000 and $1,375,000, respectively.
Mortgage advisor Scott Goodrich noted that while the interest rate hike may not directly raise mortgage rates, it could put pressure on mortgages due to its effect on long-term rates. He added that this could affect everything from credit cards and auto loans to home equity lines of credit.
Sereno Group agent Jennifer Watson said business picked back up in August after a mild slowdown in July, with sales expected to remain steady through most of the fall. However, she noted that September is likely to be the last month of the year when inventory rates rise, as October and November are typically busy months.