Southern California Real Estate Market Update – May 2024

Welcome to a comprehensive look at the Southern California real estate market as of May 2024.  Whether you’re looking to buy your first home, considering selling, or just keeping an eye on market trends, this update has something for everyone.

Statewide Market Trends

The California real estate landscape continues to evolve. This month, we've seen existing home sales increase, signaling more people are entering the market. The median price of existing homes offers insights into the overall health of the real estate sector. As a primer, existing home sales include previously occupied homes, not new constructions. This metric is crucial for gauging market activity and buyer interest.

Southern California Market Analysis

In Southern California, the real estate dynamics vary significantly from county to county. In March 2024 alone, 19,000 homes were sold across the region, though the market saw a 35% decline in sales compared to the previous year. The median price stood at $775,000, with a slight 3% decrease in growth, indicating a potential buyer's market emerging.

County-Specific Trends:

• Orange County: The median home price is $1 million, with a 5% decline in price growth.
• Los Angeles County: Home sales are slow with a median price of $887,000 and a 6% drop in price growth.
• Riverside and San Bernardino Counties: Both counties reflect similar downturns with fewer sales and stagnant or declining prices.

Focusing on Fullerton, the market appears to be an exception with a robust seller's market, suggesting local variances in market conditions.

Impact of Interest Rates on the Market

Interest rates have been a hot topic since they peaked at around 8% in late 2023. Currently stabilizing around 7%, these rates have significantly impacted buyer decisions, discouraging some potential buyers from entering the market. However, a new trend emerges as people adapt, emphasizing "date the rate and marry the house," prioritizing purchasing decisions over waiting for better rates.

Tips and Advice for Market Participants

First-Time Home Buyers: Connect with a Realtor and explore multiple pre-approval options to understand your financial standing better. Check out my detailed video on closing costs to prepare for potential expenses (see video here)

First-Time Home Sellers: Consider quick fixes like painting and decluttering to enhance your home’s appeal. These small changes can significantly affect how quickly your home sells.

Featured Listing and Success Story

Our featured listing at 6930 Silverado Street in Chino highlights a reasonably priced, well-located property ideal for families looking for space and modern amenities. Moreover, we share a success story of a first-time seller in Chino who effectively used pricing strategies to enhance buyer interest, leading to a quick sale.

Local Events and Community Engagement

May is bustling with activities, from the LA County Fair to Mother’s Day events. We encourage everyone to participate in these community events to enjoy Southern California’s vibrant culture and community spirit.

Conclusion

The Southern California real estate market is as dynamic as ever, with diverse conditions across different areas. Whether you are buying or selling, staying informed can greatly enhance your decisions. Follow me here for regular updates, and don’t hesitate to reach out for personalized advice. Join the community, and let’s navigate the real estate market together!