Why Irvine home prices aren't rising as fast?

Just my lack of data supported opinion, when prices are nearing $1M there is an artificial resistance ceiling which makes buyers less likely to jump in and buy. On top of that it pushes into jumbo territory for most buyers. Much of Irvine is selling around that price point.
 
But you got a 1% cut in mortgage rates which should translate to ~10% price hike. Why is it not true for Newport Beach?
 
I think the prices are up. It seems to me that I see more stuff moving at prices where 2 months ago - it would have sat. 
 
In my part of of Tustin the per sq ft price are setting neighborhood records. So in my narrow view of the real estate world prices have gone up recently.
 
Reminds me of the previous crash. Nothing is wrong cavalier attitude.
But other parts of the country not doing so well. People are not paying their rent or mortgage. Reits and banks are not getting paid. Also, business are shutting down and declaring bankruptcy. Sounds like bad loans 10x.
 
Yeah it is a weird environment. S&P 500 at record high, DOW not too far behind with stimulus money about to run out (for now).

Crazy times.
 
paydawg said:
If you look at Martin's recent transactions, it appears prices are up.  What do you think USCTrojanCPA?

Prices are definitely up in the sub and low $1m market...lack of supply and good buyer demand is driving pricing higher. One reason why prices may not have risen as high in Irvine as a % compared to other lower priced market is because of flight to those cheaper markets now that people can work from home and the law of large numbers in terms of the median sales price of homes in a lower priced market vs Irvine. The high end of the market is still squishy but more homes are starting to move even in that market. It definitely feels like there's also a bit of a FOMO for buyers in terms of the current interest rates.
 
qwerty said:
Yeah it is a weird environment. S&P 500 at record high, DOW not too far behind with stimulus money about to run out (for now).

Crazy times.

Not surprising when the Fed and Gov't inject trillions of dollars into the market, all that money has to go somewhere.
 
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