Southern California, which consists of 6 counties, saw a 20.2% increase in median home prices between April 2020 and April 2021, according to recent news; April 2021’s median home price was also $25,000 higher than it was in March 2021. To put this in perspective, this is the first time, since 2013, where median housing prices increased by 20% or more. This represents the ninth consecutive month that Southern California has seen double-digit increases in housing prices. Moreover, Southern California saw an 86.2% increase in volume of home sales between April 2020 and April 2021 (13,889 transactions in April 2020 and 25,857 transactions in April 2021).
As it relates to the increase in the median price of a home here’s how to region’s six counties ranked: (1) San Bernardino County (23.7% to $436,500); (2) Riverside County (19.7% increase to $489,750); (3) Los Angeles County (19% increase to $750,000); (4) Ventura County (18.5% to $705,000); (5) San Diego County (17.8% increase to $700,000); and (6) Orange County (15.6% increase to $872,500).
As it relates to increase in the number of home sales, the region’s six counties ranked: (1) Los Angeles County (101% increase in sales); (2) Orange County (97.9% increase in sales); (3) Ventura County (82.4% increase in sales); (4) Riverside County (80.8% increase in sales); (5) San Diego County (74.1% increase in sales); and (6) San Bernardino County (66.9% increase in sales).
There are a myriad of factors that played a part in Southern California’s exceptional housing market, in the face of a pandemic, but most experts point to record-low mortgage rates, the emerging millennial demographic as home buyers, and record-low inventory. As we’ve mentioned numerous times, when supply is low, and demand is high, prices shoot up; in March 2021, over 50% of homes for sale in Los Angeles ended up selling for more than the listed asking price.
At the Chernov Team we understand that knowledge is power, and knowledge of how the Southern California housing market is performing is powerful knowledge indeed. At the Chernov Team we know that whoever comes to the table most prepared leaves with the most, and the Chernov Team always leaves the table with the most.