When we take the Los Angeles home buying market into consideration, it’s a good idea to look at trends throughout Southern California. According to the Los Angeles Times, buyers are re-entering the residential real estate market because mortgage rates are declining and underlying motives for home ownership, including the cost of rent, are on the rise.
As of summer 2023, the number of Southern California home sales increased 34% according to Redfin sales data. More people are buying homes, although the total home sale inventory is down when compared to the same point in time in 2022.
Real Estate Headlines Can Be Confusing
It can get confusing to read headlines about home prices and sales volume in any area, especially a complex and busy real estate market like Los Angeles.
One recent headline from the Orange County Register read “Home Prices fell in 61% of Orange County.” This headline could inspire many people to think that prices had fallen by over 60 percent.
However, what the headline really meant was that homes for sale in over 60% of Orange County’s neighborhoods had dropped by 3% or slightly more. About 20% of neighborhoods in the OC saw more than 3% price gains, and about 20% stayed the same.
Location Within Counties and Region Matters
Where homes are located within the city or county matters when home prices are concerned. According to Redfin, average LA home prices were well over $1 million for the last part of 2022, and are now averaging about $950,000.
Sites like Niche.com track the benefits of various neighborhoods and ZIP codes for different types of home buyers. For example, 90232, located in Culver City, gets an A+ from Niche, and has an average home value of over $1.2 million per home. This area hasn’t seen a big drop in home prices over the past year, but it also hasn’t seen huge price increases either.
Work With A Firm That Understands Price, Value, and Your Needs
A home price isn’t the only factor influencing whether you will want to make an offer to buy a home or not. The home’s location, amenities, family or single-friendliness, transportation options, and culture are all influencing factors.
An experienced firm like California Platinum Loans can offer assistance in locating the best options in home purchase as well as mortgage financing. Contact them today to learn more and continue your Los Angeles home buying journey.
Khouri, Andrew. “Southern California home prices have been falling. Are the drops over?” Los Angeles Times, 25 May 2023, url: https://www.latimes.com/california/story/2023-05-25/southern-california-home-prices-have-been-falling-but-are-the-drops-over
Lanser, Jonathan. “Home Prices fell in 61% of Orange County. Did Your ZIP drop?” Orange County Register, 13 May 2023, url: https://www.ocregister.com/2023/05/13/home-prices-fell-in-61-of-orange-county-did-your-zip-drop/
Niche. “2023 Best ZIP Codes to Buy a House in Los Angeles County,” url: https://www.niche.com/places-to-live/search/best-zip-codes-to-buy-a-house/c/los-angeles-county-ca/
Redfin. “Los Angeles Housing Market,” url: https://www.redfin.com/city/11203/CA/Los-Angeles/housing-market