2024 is shaping up to be a pivotal year for California's real estate market. This article provides a straightforward overview of the key trends and what they mean for buyers and sellers.
Positive Outlook for Home Sales:
The market is set to rebound, with a notable increase in home sales anticipated. Prospective buyers can expect more opportunities, as predicted by CAR's forecast of a 22.9% rise in sales.
Rising Home Prices:
Homebuyers should be aware of the expected rise in home prices. After a decrease in 2023, CAR predicts home prices will increase by 6.2% in 2024, reaching an average of $860,300.
Steady Housing Affordability:
The affordability of homes is likely to remain constant, with a flat Housing Affordability Index. Buyers should plan accordingly, considering the limited increase in housing supply.
Diverse Regional Trends:
Different areas in California are experiencing varied market conditions. Some ZIP codes are witnessing record highs, while others are cooling down, affecting both buying and selling strategies.
Source: Nourmand & Associates
Key Market Drivers:
Low inventory and fluctuating mortgage rates are major factors influencing the market. Price trends will vary across regions, underscoring the importance of localized market research.
For those looking to buy or sell in California in 2024, staying informed about these trends is critical to making well-informed real estate decisions.