Market reports are everywhere, and they do not always agree. Often that is not because anyone is wrong. It is because they measure different things in different ways. A few simple checks will help you read any San Clemente report with confidence.
Median versus average
The median is the middle price, with half of sales above and half below. The average adds everything up and divides. A few very expensive sales can pull the average up without the typical home changing much. When you can, look at the median, and check which one a report is using.
How many sales are behind the number?
San Clemente is not a huge market, and a given month may include a modest number of sales. In a small sample, a handful of unusual sales can swing a headline number sharply. Ask how many transactions the figure is based on, and be cautious about drawing conclusions from one month.
Compare like with like
A single-family home near the coast, a condo close to downtown and a house in a newer hillside community are very different products. A report that mixes them together tells you little about the one you care about. Look for figures broken out by property type and area.
Days on market and price cuts
Days on market shows how quickly homes are selling. The share of listings with price reductions and the gap between list price and final sale price show how much room there is to negotiate. Together they tell you more about the feel of the market than price alone.
Months of supply
This estimates how long the current inventory would last at the recent pace of sales. Lower numbers generally favor sellers and higher ones favor buyers, but the meaning depends on the type of home.
Always ask: compared to what, and when?
Is the change measured against last month, last year, or a peak? A number can look dramatic or tame depending on the starting point.
The best use of a report is as a starting point for a conversation about a specific property. Rudy and the Patti & Jeff McKelvey Team can build a comparison around the home you actually care about.
Related reading
- San Clemente Market: Frequently Asked Questions — What the market reports mean, how to use them and when to ask an agent for numbers built for your home.
- Median or Average? Which Price Number Should San Clemente Buyers Trust — Two similar-sounding numbers can point in different directions. Here is how median and average prices differ…
- The San Clemente Market Handbook: How to Read the Numbers — A plain-English handbook to San Clemente housing data: what values, price cuts and market heat measure, the…
- San Clemente Market Data Explained: Where the Numbers Come From and What They Mean — A plain-English guide to the terms in every market report, where the data comes from, and how to avoid the…