The average price of a home purchase in California has reached a historic high, with the median home price in the state hitting $900,000, the California Association of Realtors said in a recent report.
The group said a new record of $904,210 was set amid a surge in home sales in April. Existing single-family home sales totaled 275,540 units in April, a 3% increase from 267,470 units in March.
“The recovery in home sales and prices demonstrates the resilience of California’s housing market and is a sign that buyers and sellers are beginning to adapt to a high interest rate environment,” said Melanie Barker, president of the California Association of Realtors.
Earlier this month, the U.S. Federal Reserve announced its latest decision on interest rates, saying it would keep interest rates at current levels for now as inflation continues to hurt U.S. spending.
housing
For $1.5 million, you can add a methamphetamine lab to your California home.
November 1, 2023, 5:55 PM
Statewide, home sales are up 1.6% year to date, according to CAR.
“Market fundamentals are showing signs of improving and competition is once again strong. Home sales are accelerating, with nearly half of homes selling above asking price, the highest level in nine months,” Barker said.
Redfin said in March that it takes an annual income of about $76,000 to buy a basic first home in the U.S., an 8% increase from a year ago. “Homebuyers are doing everything they can to come up with a larger down payment to lower their monthly payments going forward,” said Rachel Riva, a real estate agent with Redfin.
However, in the real estate industry, there is a phrase that has long been used: “location, location, location.”
Last year, a 2,743-square-foot, six-bedroom home in South San Jose, California, was listed for sale “as is” for $1.55 million, citing a “dormant methamphetamine lab” and “methamphetamine contamination.”
