State housing market improves

By on September 25, 2020

California’s housing market continued to improve in August, as sales of single-family homes reached their highest point in more than 10 years.

Existing, single-family home sales were 465,400 in August, up 6.3 percent from July and up 14.6 percent from August 2019, according to the California Association of Realtor’s monthly report on the state housing market.

Those figures were seasonally adjusted.

The median price of a home last month was $706,900 up 6.1 percent from July and up 14.5 percent from August 2019.

Home sales through August were down 8.6 percent year-over-year.

“California’s strong housing recovery in terms of sales and price over the past few months is encouraging, as motivated buyers are eager to purchase homes amid the lowest interest rates ever,” association President Jeanne Radsick said in the statement. “However, persistently low housing inventory will continue to push up home prices due to heavy buyer competition, which is starting to outweigh the benefits of record low interest rates and hamper housing affordability.”

Sales in August climbed toppled 400,000  for the second straight month since the COVID-19 crisis depressed the housing market earlier this year. 

August was also the first time since the summer of 2016 that sales increased three months in a row, the report stated.