The Southern California median home price has now risen, year-over-year, every month for more than four years.
December 27, 2016
Southern California home prices and sales rose in November compared with a year earlier, according to a report released Tuesday.
The six-county region’s median price reached $465,000 last month, up 5.9% from November 2015, real estate data firm CoreLogic said. Sales soared 24.1%.
The strong sales jump, however, happened largely because new lending regulations last year delayed many deals that otherwise would have closed in November 2015, CoreLogic analyst Andrew LePage said.
“The main reason Southern California home sales in November shot up so sharply … is the artificially weak sales recorded in November 2015,” LePage said in a statement.
Median prices climbed, year-over-year, in all six counties.
In Los Angeles County, the median price rose 8.4% to $530,000; in Orange County, 5.9% to $660,000; in Ventura County, 2.9% to $525,000; in San Bernardino County, 5.7% to $295,000; in Riverside County, 6.8% to $340,000; and in San Diego County, 5.6% to $495,000.
The Southern California median home price has now risen, year-over-year, every month for more than four years. The strong gains have some in the real estate industry wondering how much further prices can climb.
Housing values’ rise has far outpaced income growth in recent years, and mortgage interest rates have risen since the Nov. 8 presidential election, driving up monthly payments.
The average rate on a 30-year fixed mortgage was 4.3% last week, up from 3.54% in the week before the election, according to government-backed mortgage buyer Freddie Mac.
Many economists expect prices to keep rising in 2017, but more slowly than in previous years as families have a harder time affording a home.
There are some signs that slowdown could be happening already.
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