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California Home Sales Retreat; Yet 2019 Outlook Revised Upward
California home sales fell below the benchmark 400,000 level in June, as sales declined from both the previous month and year. Research by the California Association of Realtors (C.A.R.) shows after rebounding in May, closed escrow sales of existing, single-family detached homes in the state totaled a seasonally adjusted annualized rate of 389,690 units in June. Sales have been under the benchmark for 10 of the past 11 months.
C.A.R.’s Jared Martin says, “With softer price growth and interest rates at the lowest levels in nearly three years, monthly mortgage payments on a median-priced home have fallen for four straight months. This allows homebuyers to save hundreds of dollars a month on the same home or to potentially consider a slightly more expensive home for the same monthly cost.”
While the median price set another record in June, the increase was tempered. June’s median price was $611,420, essentially unchanged from $611,190 in May and up 1.4% from $602,770 in June 2018, C.A.R. reported.
C.A.R.’s Leslie Appleton-Young added, “With low rates supporting sales and elevating home prices in the last few months, the market outlook has shown some improvement since the first quarter. As such, we have revised our 2019 forecast upward for home sales to reach 385,460 and for the median price to hit $593,000, from the previous forecast of 375,100 and $568,800, respectively.”
June 2019 County Sales and Price Activity
| June 2019 |
Median Sold Price of Existing Single-Family Homes |
Sales |
|||||||
|
State/Region/County |
June 2019 |
May 2019 |
June 2018 |
Price |
Price |
Sales |
Sales |
||
| Calif. Single-family home |
$611,420 |
$611,190 |
$602,770 |
r |
0.0% |
1.4% |
-4.2% |
-5.1% |
|
| Calif. Condo/Townhomes |
$480,000 |
$470,000 |
$476,500 |
r |
2.1% |
0.7% |
-11.6% |
-12.4% |
|
| Los Angeles Metro Area |
$545,000 |
$535,000 |
$539,000 |
1.9% |
1.1% |
-6.5% |
-8.4% |
||
| Central Coast |
$699,000 |
$690,000 |
$670,000 |
1.3% |
4.3% |
-1.1% |
-6.4% |
||
| Central Valley |
$340,000 |
$340,000 |
$334,000 |
0.0% |
1.8% |
-7.2% |
-9.4% |
||
| Inland Empire |
$379,000 |
$384,000 |
$360,000 |
-1.3% |
5.3% |
-3.5% |
-5.2% |
||
| San Francisco Bay Area |
$960,000 |
$990,000 |
$1,045,000 |
-3.0% |
-8.1% |
-10.2% |
-8.8% |
||
(Regional and condo sales data not seasonally adjusted)
r = revised
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- ◦Sale/Acquisition
