As Sales Climb and Affordability Drops, OC Real Estate is Back to "Normal"

The median price of a home in Orange County rose by 4.7 percent in July, compared with the same month a year ago, while the number of homes sold jumped by 15.5 percent, a real estate information service announced today.

According to CoreLogic, the median price of a Orange County home was $615,000 last month, up from $584,000 in July 2014. A total of 3,692 homes were sold in the county, up from 3,197 during the same month the previous year.

According to the California Association of Realtors, 21 percent of households could afford to purchase a single-family home. To afford an Orange County house, a household would require a minimum annual income of over $141,000 to make monthly payments of $3,530.

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Housing Affordability in LA County Plummets

A total of 24,235 new and resale houses and condos changed hands in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties last month, according to CoreLogic. That was down 0.6 percent from 24,377 in June and up 16.9 percent from 20,734 in July 2014.

The median price for a Southern California home was $438,000 in July, down 0.9 percent from $442,000 in June and up 5.5 percent from $415,000 in July 2014.

“Southern California home sales have risen year over year for six straight months now, and we’re finally approaching an overall sales level that could loosely be called ‘normal’ in the context of the past quarter century,” said Andrew LePage, a data analyst for CoreLogic. “Last month’s total sales were 4 percent below the long-term July average, while July 2014 sales were 18 percent below average. Cash and investor purchases, as well as distressed sales, also continue to trend toward more historically normal levels.”

Statewide, the California Association of Realtors reported today that home sales reached their highest level in nearly three years in July, with sales rising year-over-year for six straight months.

CAR reported 449,530 sales in July, the highest level since October 2012. The number of home sales was up 2.7 percent from June and 12.7 percent above the July 2014 figure.

The statewide median home price was $488,260 in July, according to CAR, down 0.3 percent from $489,640 in June but up 5.4 percent from $463,330 in July 2014.

City News Service