We’re Back to Pre-recession Home Prices
The median home prices in Los Angeles from the past month are almost equal to the median home prices before the recession in 2007.
Do we work in patterns and should we be afraid of repeating 2007 again? Does a thriving market have to end in a crash?
Definitely not. A lot of variables are contributing to this thriving time for the real estate market.
For example, the economy is booming. With low unemployment rates, a plethora of jobs, and a rising inflation, households are optimistic and looking toward a bright future. This makes imagining a dream home and searching the markets for said home a possibility for many families this buying season.
Also, the Federal Reserve has raised their rates and will continue to do so. People are not wanting to wait when considering to purchase a home.
Furthermore, the weather seems to be highly contributing to the increase in sales this past month. The sun is finally shining down in Los Angeles again. The rain seemed to keep many indoors throughout February resulting in less homes purchased and lower purchasing prices throughout that month.
Rise in Median Prices
In fact, the median price in February this past year in Los Angeles, was $525,000, whereas the median price in March made a 5 percent jump to $549,000. This very closely compares to the pre-recession peak of $550,000 in August of 2017. As a county, we have a lot to look forward to as this summer is bound to be one of the highest sales we’ve seen in years.
The increase in median prices is not exclusive to LA. Across all of Southern California, the Real Estate market took leaps between February and March. The Median home price in February, was $460,000 and March rose to $480,000. I can’t wait to see the results from April as I can only imagine that with the beautiful weather and prosperous economy, we may have the best month for median home prices in a decade!
Number of Homes Sold Multiplying
Aside from home prices, the the number of homes sold across the country have catapulted as well. This past February, 4,866 homes were sold and the number of homes sold almost doubled in March with 7,266 homes sold nationwide. According to Corelogic, the increase in sales between February and March in the highest in 12 years.
On top of that, the number of homes sold this past March were up 9.7 perfect compared to the number of homes sold just a year ago in March of 2016.
This all being said, this is not a troubling time for investors as people in this economy are less hesitant to purchase homes than they have been in a long time knowing that the future’s looking bright. And what a perfect time to invest in real estate and/or fix and flips when the prices are only rising. Private-money-loan.com is every investor’s best friend and your home in the marketplace.