According to CoreLogic data, sales of new and existing homes in Southern California were down 20.3 percent annually in December 2018, the lowest sales pace for the month since 2007.
Home and condo sales dropped 8.2 percent in Los Angeles, Orange, Riverside, San Bernardino, San Diego, and Ventura counties from November to December, when sales typically increase an average 12 percent, CNBC reports. The median sale price for homes sold in SoCal in December was up 1.1 percent year-over-year to $515,000, though when adjusted for inflation, the median was 13.2 percent lower than the price peak in July 2007.
CoreLogic analyst Andrew LePage says, "Last month's sharp drop in home sales stands out in several ways," noting that it was the largest decline for any month in more than eight years. "This drop in activity reflects a variety of factors. Mortgage rates hit a 2018 high in November, affecting December closings, and stock-market volatility created an additional headwind in high-end markets. Meanwhile, some would-be buyers remain priced out or unwilling to buy amid concerns that prices have overshot a sustainable level."
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