State, Inland home sales plummet

Sales of existing single-family homes in California totaled 274,040 in October, down 10.4 percent from September and down nearly 37 percent year-over-year, according to a report released this week.

That was the lowest sales level since February 2008 and the largest year-over-year decline since December 2007, not counting the pandemic, the California Realtors Association reported.

Last month’s statewide median home price was, $801,190 down 2.5 percent from September and up 0.3 percent from October 2021, the California Realtors Association reported.

Year-to-date, statewide home sales were down 18.5 percent in October compared with the first 10 months of 2021.

The Los Angeles-based trade association’s sales figures are based on data collected from 90 realtors and listing associations statewide. They take into account seasonal factors that typically affect the housing market.

Higher interest rates are being blamed for the downturn, as the average interest rate for a 30-year fixed-rate mortgage was about seven percent.

“Excluding the three-month pandemic lockdown period in spring 2020, October’s sales level was the lowest since February 2008,” said Jordan Levine, the association’s vice president and chief economist, in the statement. “With pending sales showing a 50 percent drop from a year ago, we can expect additional tempering in housing demand in the coming months.”

In the Inland Empire, sales were down 44 percent year-over-year in October, while the median price of a home – $550,000 – represented a 4.8 percent increase during that time, the association reported.