High interest rates drag down home sales – NBC Los Angeles

Thanks to rising interest rates, the median price of an existing single-family home in the Los Angeles metro area fell to $750,000 in September from $765,000 in August, but still up from 730 $000 a year ago, the California Association of Realtors reported. today.

The month-over-month decline represented a 2% drop, but year-over-year data shows a 2.7% increase, according to CAR.

Meanwhile, Los Angeles County has moved in the opposite direction over the past month, with the median price rising to $891,770 from $854,960 in August and $886,050 in September 2021. The rise of a month-over-month was 4.3%, while the year-over-year increase was 0.6%.

“With interest rates rising rapidly since the start of the year, buyers and sellers are struggling to adjust to the new market ‘normal’,” CAR Chairman Otto Catrina said. , Bay Area Real Estate Broker and Realtor.

“As the market continues to evolve over the next 12 to 18 months, real estate agents will play an increasingly important role as trusted advisors to guide their clients through the complex process of buying and selling. sale and help them.
overcome their obstacles in these difficult times.

The median price in Orange County was $1.2 million in September, the same as August but up from $1.1 million in September 2021. These numbers do not represent any change in month over month, but a 9.1% increase year over year.

The Inland Empire has been a boiling housing market during the pandemic. But in recent months, home sales have cooled. Tony Shin reports July 29, 2022.

The median number of days it took to sell a single-family home in the Los Angeles metro area was 22 in September, down from 19 in August and 10 in September 2021.

Here’s a look at the median number of days for homes on the market in Southern California counties:

  • In Los Angeles County, the median number of days an existing home was on the market was 21 in September, down from 16 in August and 10 a year earlier.
  • In Orange County, the median time on market was 21 days in September, compared to 17.5 in August and eight in September 2021.
  • The San Diego County median price was $899,000 in September, down from $885,000 in August. It was $850,000 in September 2021.
  • Riverside County’s median price in September was $600,000, up from $620,000 in August but up from $570,000 in September 2021.

Regionally, sales continued to fall sharply from a year ago, with four of California’s top five regions down more than 25% from a year ago. Southern California saw the largest annual decline in sales to
32.6%, as every county in the region saw a drop in sales of more than 30% in September.

The 30-year fixed mortgage interest rate averaged 6.11% in September, down from 2.9% in September 2021, according to Freddie Mac. The five-year adjustable mortgage interest rate averaged 4.87%, compared to 2.45% in September 2021.

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