After laying dormant for much of the winter, the home market in California picked up considerably in April resulting in higher home sales and prices. According to the California Association of REALTORS® home sales reached a seasonally adjusted annualized rate of 427,620 in April. This is the first time home sales have surpassed the 400,000 mark since October 2013, when investor activity was much higher, and is the highest volume of home sales since August 2013.
This figure was 9.2 percent higher than March’s revised figure of 391,440 homes sold. A similar increase was seen in year-over-year data for the state. There was a 9.3 percent increase from April 2014’s revised figure of 391,330. This increase was the highest yearly change seen since May 2012.
“It’s encouraging that the spring home-buying season is off to such a strong start,” said C.A.R. President Chris Kutzkey. “Sales activity is at the highest level in the last year and a half, and should remain solid throughout the rest of the season. We are finally seeing some of the pent-up housing demand that we talked about in the past turning into actual sales, thanks to solid job growth, record-low interest rates, and looser lending requirements.”
While home sales activity is on the upward trend, so are home prices. The median home value for California increased a modest 2.8 percent from $468,550 in March to $481,760 in April. A larger increase was noted in the year-over-year data, which showed an increase of 7.4 percent increase from April 2014’s value of $448,720.
Home inventory continues to be a significant factor in keeping home sales down and home prices up.
“While it’s a welcomed sign to see the growth in housing demand continue, the lack of supply remains a concern,” said C.A.R Vice President and Chief Economist Leslie Appleton-Young. “The imbalance between the two sides not only intensifies market competition and pushes home prices higher, but also leads to housing affordability issues that could ultimately lower the homeownership rate if the problem persists.”
Luxury Corona del Mar Homes Show Inventory Uptick
One region of Southern California that has seen a significant amount of homes come to the market throughout the spring season has been Corona del Mar. According to California-based real estate analytics company Altos Research, inventory started trending up in this exclusive community and as of June 12 there are about 69 properties on the market here.
With the rise in inventory has come a slight decrease in the median home value in Corona del Mar. The current median single-family home value is $3,754,369. This value hit a peak back in March of about $4.18 million, but has since slowly regulated to its current level.
Corona del Mar properties are seeing a good deal of demand. Altos reports a falling average days on market, which indicates that buyers are moving faster to secure the perfect luxury home here. The average property has been on the market for about 138 days.
If you are interested in learning more about Corona del Mar homes for sale, please contact our team of property experts today.