California Housing Market – Realtor John McQuilkin
California Housing Market
The California housing market continues to improve. June saw increases in both the number of homes sold in Southern California and the sales price.
Home prices continue to rise boosting the California Housing Market
Core Logic reported that the median price of a single family home in California rose 3% in June to $417,000. This represents a 7% rise in the median price from last June. The median price is the point at which ½ the homes sell for more and ½ the homes sell for less. It’s really not an indication of any particular home or neighborhood, but it is the only official measure of home price comparisons. It is a good indication of trends. We have seen the higher priced markets have stronger price gains, so our markets have prices rising at a greater rate than markets at the price level of the median price. The California Association of Realtors reported that ( average price, a measurement that is not commonly used) home values were up 2.2% in June from May and 10.1% from June 2014. The average price in California was $634,190, according to the CAR.
California Housing Market Pending Home Sales Increase
The California Association of Realtors reported that June pending home sales were up 12.5% on an annual basis from June 2014. This marked the 7th straight month of increased sales numbers and the 5th straight month of double-digit gains. Month over month California as a whole saw fewer sales in June than in May, but Southern California pending home sales were up 4% in June from May resulting in a very strong California housing market.
U.S. Resale home sales jump
The National Association of Realtors reported that the number home sales of existing homes jumped in June to an 8 year high.
U.S. New home sales surprising disappointing
The Commerce Department reported that new home sales unexpectedly fell in June. New U.S. Single family home sales fell in June to a 7 month low. New home sales account for just 8% of housing sales and tend to be volatile on a month to month basis. Nevertheless, June single family new home sales dropped 6.8% in June on a seasonally adjusted basis. This was disappointing, as single family new homes had been trending up sharply, but single family new home sales are still up 18.1% from June of 2014. Data showed that new building permits jumped in June to an eight year peak. This is sign that new home sales will continue to increase as limited supply was factor in inhibiting sales in June.
The number of existing home sales continue to gain strength bolstering California Housing Market
California Housing Market tracker Core Logic reported that same month, year over year home sales rose in June for the 4th straight month. Statewide an estimated 46,095 resale homes changed hands which represents an increase of 10.8% from the number of homes sold in May and a 16.8% increase from June 2014. This rise in sales was despite a tight supply of inventory. The California Association of Realtors reported that home inventory levels had dropped to a 3.7 month supply in June from a 4 month supply in May. A 7 month supply is considered a normal market. Homes are hitting the market in higher numbers than a year ago, but many are selling quickly, which has not allowed the unsold numbers to increase. California is on the right track adding jobs at a higher rate than the nation as a whole keeping the California Housing Market booming!
Housing starts continue to rise in Strong California Housing Market
The Commerce Department reported that housing starts in June rose 9.8%. they also reported a surge in multifamily construction which was up 28.6 %. This accounted for the majority of the 9.8% overall rise in housing starts
About California Housing Market Realtor John McQuilkin
Beverly Hills real estate agent John McQuilkin is a Realtor at Rodeo Realty in Beverly Hills, California. In addition to covering the California Housing Market, John McQuilkin is a divorce real estate agent and probate real estate specialist. The bulk of John’s business comes from traditional real estate sales. John’s clients range from first time home buyers to high profile celebrity clients. John works at all price levels and welcomes hearing from you.