California Home Sales and Prices Drop

California Home Sales and Prices Drop

November 16, 2018
Mortgage application activity entered 2019 on the upswing, according to new data from the Mortgage Bankers Association (MBA) for the week ending Jan. 4
Existing, single-family home sales is California totaled 397,060 in October on a seasonally adjusted annualized rate, a 3.8 percent increase from September but a 7.9 percent drop from one year earlier, according to data from the California Association of Realtors (CAR).
The statewide median home price in October was $572,000, down 1.2 percent from the previous month and up 4.7 percent from the previous year. Statewide active listings were up by 28 percent from October 2017—last month marked the seventh consecutive month of increased listings. But there was also a smaller inventory: 3.6 months, down from 4.2 months in September.
“Homebuyers continued to put their homeownership plans on hold in October and wait out the market,” said 2019 CAR President Jared Martin. “With mortgage rates at seven-year highs making homeownership more expensive and home prices beginning to flatten, this phenomenon will likely continue for the near term as buyers wait for further price adjustments and for interest rates to stabilize.”