Orange and LA Counties Still on Bubble Watch

Some experts have become concerned that Orange County and Los Angeles County may be experiencing another localized bubble. The homes have become overvalued in these areas once again, after extreme home price increases throughout 2013. The homes still are not as overvalued as they were during the height of the bubble, but they are still significantly overvalued and this may eventually lead to another crash in the area.

Certain geographic amenities may make the overvaluing of these properties sensible, or even increase their values in ways that are not adjusted for statistically. The natural price of these properties might be over what the market would expect for these reasons. However, it is also possible that the property is simply trading over its true value again due to eager home buyers and low mortgage interest rates.

Whether the Orange County and Los Angeles County will experience a localized bubble is not known, even by experts. However, there are ways to avoid the possible consequences of these bubbles even within these areas. A qualified real estate agent, such as the experts at Judy Qualls Realty, will be able to help you minimize the effects of overvalued property.