Los Angeles County home purchases cooled as prices and sales fell slightly in August versus July.
It was the same across Southern California when prices fell in August versus July – the first drop since January. Sales also fell.
With that in mind, here are 12 must-watch trends my trusted table found in DQNews / CoreLogic’s August Transaction Report for Los Angeles County …
1. Sales: 7,799 existing and new apartments sold – 5% less than in July, 14% more than in August 2020.
2. Context: You have to go back to 2017 to find August with more sales. The past month was 5% above the 10-year average buying pace for August.
An average August has seen sales increases of 2.5% since 1988. Between August and July, sales increased 56% of the time.
3. Last 12 months? 89,707 Los Angeles County – 34% over the last 12 months and 17% over the 10-year average.
4. Pricing: The statewide median of $ 785,000 was less than $ 10,000 in a month but rose 13.4% in 12 months. Record high? $ 795,000 set in July.
5. Context: Over 10 years, the price gains averaged 9.6% per year. The most recent performance exceeds 77% of all 12-month periods since 1988.
6. Last 12 months? Six records set. The median increase of $ 93,000 corresponds to a profit of $ 10.62 per hour over 12 months.
Here’s a look at key portions of the Los Angeles County’s market in August …
7. Existing single family homes: 5,356 sold, an increase of 13% in one year. Median of $ 855,000 – an increase of 14% over 12 months.
8. Existing condos: 2,144 sales, 17% over 12 months. Median of $ 625,000 – an increase of 9% in one year.
9. Newly built: Builders sold 299 new houses, an increase of 15% in one year. Median of $ 789,500 – an increase of 16% over 12 months.
10. Owners’ share: 3.8% of sales, as in the previous year. Los Angeles County’s market share of construction companies ranks fifth out of SoCal’s six counties.
And the bigger picture …
11. Prices: How cheap is money? The interest on a 30-year fixed-rate mortgage averaged 2.9% in the three months to August, compared to 3.04% in the previous year. That means 2% more purchasing power for those looking for a home.
At these rates, with a 20% decrease, a buyer would pay $ 2,613 monthly for the average sale of $ 785,000, up from $ 2,345 for last year’s median of $ 692,000. In the past year, the typical house payment was 11.4% more expensive.
12. Offer: The number of homes for sale in Southern California has risen steadily since February and rose 18% through August, according to Zillow’s numbers.
Around Southern California, according to DQNews’ latest August closed sales report …
Six County Region: 24,565 sold – 2% less for the month but 8% more in a year. Median? $ 680,000 – an increase of 14%.
Orange County: 3,708 sold – up 1% for the month, up 5% in a year. Median? $ 900,000 – an increase of 13%.
Riverside County: 4,271 sold – 3% less a month but 6% more in a year. Median? a record $ 525,000 – a 19% increase.
San Bernardino County: 3,409 sold – up 4% for the month, up 9% in a year. Median? A record $ 465,000 – an increase of 22%.
San Diego County: 4,267 sales – down 4% for the month but up 3% in a year. Median? $ 725,000 – an increase of 13%.
Ventura County: 1,111 sold – down 4% for the month but up 1% in a year. Median? A record $ 740,250 – an increase of 15%.
Jonathan Lansner is the business columnist for the Southern California News Group. He can be reached at [email protected]