Here’s a breakdown of the California housing market for home buyers in February 2024:
Positive Signs:
- Increased Sales Activity: Existing home sales in California surged in February compared to January, indicating a robust market [California Association of Realtors (C.A.R.)].
- Inventory: While still tight, there might be a slight increase in available homes compared to the peak frenzy of 2023.
Challenges:
- Rising Prices: The median home price in California saw a significant year-over-year increase of 9.7% in February, reaching $806,490 [C.A.R.]. This could limit affordability for some buyers.
- Competition: The sheer number of interested buyers can still lead to bidding wars, especially for desirable properties [Norada Real Estate Investments].
- Interest Rates: Although mortgage rates have seen some fluctuation, they’re still higher compared to earlier in 2023, impacting purchasing power [C.A.R.].
Tips for Home Buyers:
- Get Pre-Approved: Having a pre-approval letter demonstrates your financial readiness and strengthens your offer [C.A.R.].
- Call John & Nellie Lazar: Real Estate agents who can guide you through the competitive market, negotiate on your behalf, and help you find the right home.
- Be Flexible: While you have a right to make requests, be prepared to compromise on some aspects, especially in a multi-offer situation.
- Consider Different Areas: Expand your search to include neighborhoods that might offer better value or lower competition.
Market Outlook:
February 2024 presented a mixed bag for California home buyers. While there were positive signs like increased sales activity, affordability remains a concern due to rising prices and interest rates. With the market potentially shifting towards a more balanced state, patient and well-prepared buyers might have a better chance in the coming months.
Remember: This update is based on February 2024 data. It’s always wise to consult with a local realtor for the most up-to-date market insights in your specific area.
