Los Angeles Homes See Dramatic Increase In Price Compared to Last Year

Santa Monica Homes

Los Angeles Homes See Dramatic Increase In Price Compared to Last Year

Median Price of Los Angeles Homes Increase

A recent report on DQNews.com, shows the median price of Los Angeles homes has increased. “The median sale price rose to a more-than-six-year high. The median price paid for all new and resale houses and condos sold in the six-county region last month was $400,000, up 4.4 percent from $383,000 in February and up 15.8 percent from $345,500 in March 2013. Last month’s median was the highest since it was $408,000 in February 2008.”

In addition, “In March, Southern California home buyers forked over a total of $4.04 billion of their own money in the form of down payments or cash purchases. That was up from a revised $3.36 billion in February and down from $4.46 billion a year ago. The out-of-pocket total peaked last May at $5.41 billion.”

Why the increase? There could be a number of reasons.

According to an article in the Los Angeles Daily News, three declines could be contributing to the increase as follows:

1.” Last month foreclosure resales — homes foreclosed on in the prior 12 months — accounted for 6 percent of sales, down from 7 percent in February and from 14 percent a year ago.

2. Short sales accounted for 8 percent of the market share in March, down from 9 percent in February and 19 percent a year earlier.

3. Absentee buyers, mostly investors and some second-home purchasers, accounted for a 27 percent share last month, down from 29 percent in February and 31 percent a year earlier.”

As always, consult with a qualified real estate agent to get the most up-to-date information on your local market and Los Angeles homes.

No Comments

Post a Reply