Inland Empire Homebuying Plummets 40%
Higher interest rates and soaring inflation has throttled homes sales in the Inland Empire, according to data from CoreLogic. The region suffered a 40% drop in sales activity in the eighth slowest February on record and saw the largest percentage sales skid in the last 35 years.
How bad is it? Riverside County had 2,336 closings in February, off 38% year-over-year and San Bernardino County had 1,479 closings, down 43% annually. Riverside County’s $540,000 median home value in February was 10% lower than the record high in the Spring of 2022, while San Bernardino’s median home value was 9% lower.
According to the Southern California News Group, higher mortgage rates are causing payments to skyrocket by as much as 36% compared to a year ago. For example, the February average interest rate of 6.26% increased a mortgage payment for a typical home from $2,040 per month to $2,663 in Riverside County and from $1,725 to $2,342 in San Bernardino County.
- ◦Economy