Home prices in LA and Orange County are rising—here’s what that means for buyers and sellers this spring.
If you're thinking about buying or selling a home, you're probably wondering what’s happening in the market right now. As we head into the busy spring season, it's important to understand the trends that are shaping our local real estate scene. The market is definitely shifting in Los Angeles and Orange County, but it’s not a drastic change. Here’s a breakdown of what we’re seeing right now:
Home prices are still rising. In general, home prices are still climbing. The average price of homes in LA County is around $1.1 million, while in Orange County, it’s about $1.3 million. While prices are up compared to last year, they’ve only increased by about 3-5% in most areas. So, while it's still a strong market, it's not seeing explosive growth like we’ve seen in the past.
The condo market is softening. On the other hand, the condo market is facing some challenges. A lot of condos are being impacted by balcony inspections and the repairs needed for those inspections. Many buildings are seeing hefty repair bills or special assessments, and that’s causing condo values to soften. If you're considering buying a condo, this is something to keep in mind, as it could affect your investment.
How fast are homes selling? Homes are still moving, but it’s taking a little longer than it did last year. The average days on the market is now about 40 days. While that may seem like a long time, homes that are priced right in the first 30 days are still selling for 102% of the list price. However, if a home stays on the market for more than a month, it’s likely to sell for only 97% of the last listed price. The lesson here? Pricing your home correctly from the start is crucial to getting top dollar.
"The LA and Orange County real estate market remains strong, but competition is increasing this spring"
What does this mean for buyers and sellers? For buyers, interest rates have dipped slightly, and that’s giving you a little more room to breathe. Now could be a good time to jump in and lock in a lower rate before they rise again. However, as more buyers enter the market, competition could increase, and you may start seeing prices go up as well.
For sellers, there’s more competition than last year, with more homes available on the market. As a result, price reductions are becoming more common. If you're selling, make sure your home is priced right from the beginning and in great condition. Buyers today are picky, and many are asking for repairs or concessions.
Whether you’re buying or selling, the market is still strong as prices continue to rise, but the condo market is facing challenges. For buyers, now is a good time to lock in a lower interest rate. For sellers, pricing and presentation are key to standing out in a competitive market. If you're thinking about making a move, feel free to call or text me at (562) 316-2915 or email me at [email protected]. I’d be happy to help you navigate the current market and make sure you’re getting the best deal.
