It’s been a long wait for Southern California homeowners waiting on their first dip in home prices. With the release of data from Zillow, it looks like we might be nearing that point as well!
A recent report shows how much homes have increased since last July when they dipped down below $600k – now reaching an average price around $615K across all three counties (San Bernardino/ Riverside). This increase came after several months without any real change: January saw only 0.3% decrease and February was flat also at 1%. So you tell me; are these buyers confident enough to take out loans again knowing interest rates will go up soon?
The median home price in Southern California increased for six straight months before falling over the summer. It is a highly unusual occurrence, with only three longer streaks since 1988 when prices did not decrease from June to July or August–and those were atypical enough as well because they each lasted just one month!
What does this mean? Well if you’re looking to buy that dream house ASAP (or ever) and are ready make an offer today even though it might seem like others will get higher offers tomorrow- don’t worry about waiting around: sellers have already started adjusting their asking rates down based on what we can expect next year’s housing market performance may be like.
For any long-term analysis, it would be best to compare monthly changes rather than yearly fluctuations. Looking back over the last 38 years in particular has shown that prices have risen during just 53% of their 392 months since 1988; so even if we take one month at random and flip our coin three times per week on Mondays/Tuesdays for six weeks straight while watching Game Of Thrones season 8 premiering next weekend (which happens about every 5 days), there’s still only a 37% chance this single event will happen again within 12 full calendar year cycles following its occurrence – not exactly compelling evidence for investing decisions!
When you think of the towns in and around six counties, it’s no surprise that median homes are selling for an impressive $680K. This number has been on a steady increase since January 2018 when they hit their lowest point at just over $595K! In total there were 21% more home sales recorded during this period than last year making these new record highs all too real as well.
A quick glance shows why so many people want to call one lucky person “their” own – with prices rising steadily each month even after adjusting downward following some seasonal dips earlier this summer (which usually happen), by August 2019’s final settlement figure had fallen only slightly compared other.
It is a rare occasion when the market experiences an extended upswing. It’s only happened just over 1% of the time – this means they’re truly unique in nature!
The trends of upward pricing momentum have been going on for a long time, but I gave them my lowest risk rating because we’ve seen monthly gains early in the formation and late 1980s’ bubbles as well. Plus these histories also remind us that it can’t last forever — noting how eroding average prices are following pre-bubble levels after such highs like those around 1990 or 2000