The cutthroat bidding wars that emerged in 2020 as a new norm have begun to fade, but home prices remain elevated and continue to increase. In Southern California, median home prices just hit a new all-time high of $680,000 in June, up from May’s previous record breaking price tag of $667,000, reports the Los Angeles times. Buyer demand resulted from expanding buyer markets, a demand for more space, and low mortgage rates. Now, sales have picked up, and it could be a signal toward an easing supply shortage and extreme bidding wars.
In June, 27,012 homes traded hands, a sizable jump from the 24,064 that sold in May and the 17,743 that sold in June 2020.
- In Los Angeles County, the median home price rose 23.1% to $790,000 in June, while sales climbed 68.9% year over year.
- In Orange County, the median home price rose 17.6% to $900,000, while sales climbed 67.2%.
- In Riverside County, the median home price rose 20% to $510,000, while sales climbed 43.8%.
- In San Bernardino County, the median home price rose 21.3% to $442,750, while sales climbed 41.7%.
- In San Diego County, the median home price rose 24.9% to $750,000, while sales climbed 34.5%.
In Ventura County, the median home price rose 22.7% to $736,000, while sales climbed 47.6%.
With more houses steadily being listed for sale, Compass agent Brent Chang said he thinks the historic seller’s market could calm down before the end of the year.
“With every new article that comes out about how great the market is for sellers, a new wave of homeowners put their houses on the market. One agent I know is listing five properties a week,” he said.