Los Angeles Housing Market Update - NOVEMBER 2023
Housing supply remains the limiting factor in California’s housing market, but higher rates have also had a significant impact on homebuyer demand. However, the recent surge in mortgage rates has created opportunities for new homebuyers as well: homes are taking longer to sell with the median days on market rising to 19 days last week; more than one third of active listings have already reduced price; and sellers are willing to consider other concessions to get their homes sold that may not have been on the table last year. At the same time, homes that are priced right and that present well are still selling relatively quickly and more than 2 out of 5 transactions last week still closed above list price. It still remains a great time to buy and sell, but buyers and sellers need to be cognizant of the recent market dynamics and adjust their behavior accordingly.
The median home price in Los Angeles County reached $914,640, representing a 3.7 percent increase from August and a 2.6 percent increase from September 2022. However, sales in the county were down by 4.5 percent compared to the previous month and 18.3 percent down year-over-year.
According to CAR, the statewide median home price for September 2023 was $843,340. While this figure represents a slight decline of 1.9 percent from August, it also reflects a noteworthy increase of 3.2 percent compared to September 2022. This rise in prices, despite the economic challenges, signifies the enduring strength of the Southern California housing market.
- Source: California Association of Realtors & Norada Real Estate