The real estate market in California is considered to be hot when times are good for both real estate agents and sellers. Therefore, a residential real estate market that is deemed hot may not necessarily be good for buyers. However, this past month was a little different.
Research shows that the median price for a house in July dropped by 1 percent compared to June, going to $251,000. This is great news for homebuyers. However, sellers also received positive news in July, as the price last month was still 7 percent higher compared to the price a year ago, based on statistics from July 2015.
Homes stayed for sale on the market for a median of nearly 70 days in July. This is one day less than a year ago, but it is three days longer than it was in June. However, this is normal since inventory usually peaks in July, which results in fewer sales. Right now, California dominates the list of the 20 home markets in the United States that are deemed the hottest, with 12 California cites included on this list.
Because California as a whole is considered to have a hot residential real estate market, homebuyers would be wise to jump on opportunities to claim their dream homes. In the same manner, sellers can take advantage of growing demand among buyers and work on selling their properties while home prices are generally still higher than they were last year. An applied understanding of the law may help both buyers and sellers to navigate complicated real estate transactions to achieve their individual aims in the Golden State.
Source: 247wallst.com, "July's 20 Hottest US Real Estate Markets", Paul Ausick, July 30, 2016