Westside Market Watch - August
Updated: Sep 26
Summary: The real estate market is bad, but mostly for real estate agents. On the Westside, in Los Angeles, sales are still historically low, primarily due to low levels of inventory. Good properties are still getting multiple offers and selling above the asking price. Prices are slowly trending upward. Luckily, interest rates have remained higher, which has helped stabilize the market. I can't imagine where the market would be today if interest rates had remained at historically low levels. It would be insanity, with the result being unsustainable prices. So yes, the higher interest rates hasn't been all bad.
Single Family Homes: On the Westside of Los Angeles, in August, the median price went down 10% compared to the previous month but is up 5% compared to the same period last year. The median price is $2,037,500. In general, single-family home prices bottomed around late 2022 or early 2023. Since then, we've seen stabilization, with prices going up and down monthly but with a slight upward trend. A spike in interest rates affected the market, but an inventory reduction counteracted that. During last year's peak, 292 new listings hit the market in April. In August 2023, that number was 208, a 28% decrease. As the market bottomed late last year, the median days on market hit a high of 31 days; it is now back down to 15 days, which means houses are selling faster. Historically, sales are still at some of the lowest levels. But compared to last year, sales are up by about 31% in August.
Condos: On the Westside, condos share a similar story to single-family homes, but they recuperated much faster from last year's price drop. Within a few months after the peak, they were already trending up as interest-conscious buyers looked for more affordable options. With a median price of about $1.1M, condos have steadily increased in price since the summer of last year. In August 2023, prices dropped by about 5% compared to the previous month but are up by about 2% from the same period last year. Months of inventory remains low, at about 2.5. And the median days on the market is 15 days, down 54% from a high of 33 days in January 2023.
Westside Source: LINK
California Market (full report): LINK