In January, sales of existing houses in California reached a seasonally adjusted annualized rate of 420,100 units, a 2.1 percent increase from December. During the same time frame, the median sales price of existing homes in the state fell 3.8 percent to $489,580.
Through a report from the California Association of Realtors, HousingWire says that these signs indicate that the state is due for a strong housing year.
The decline of the median sales price, which dipped below $500,000 for the first time since March 2016, is smaller than normal at this time of year. That bodes well for the market’s health.
“Since 2011, price declines from December to January have usually ranged from -11.7% to as little as -4.6%, but January's 3.8% monthly smaller price decline suggests that price pressure remains relatively robust and could translate into additional price growth as the spring and summer home-buying seasons near,” CAR’s report states.