Competition Continues in CA Housing Market and the market is still HOT, HOT, HOT! Here is a quick summary from the California Association of Realtors
California has already recovered all the sales it lost in the first half of the year
Sales of existing single-family homes surpassed the 500,000 benchmark for the first time since January 2009
Inventory remained extremely low, with active listings declining 18 percent in November 2020 from the prior month and 46.6 percent from a year ago
Homes for sale also received multiple offers more frequently, and the average number of offers per sale transaction reached their highest levels since 2013.
According to the 2020 Annual Housing Market Survey released by the California Association of REALTORS® (C.A.R.), nearly two-thirds (59.2 percent) of homes sold in 2020 received multiple offers at an average of 4.8 offers per home.
Many properties were sold above asking price this year with their share to total sales up nearly 10 percent from 2019.
The sales-price-to-list-price ratio in California also set a new record high. In November 2020, the ratio was at 100.5 percent and was the highest ever recorded in the past 30 years.
Record low rates continue to keep buying interest above last year’s level and higher than the norm.
It looks like the California market will likely remain heated and very competitive for the first half of 2021.
Source: CALIFORNIA ASSOCIATION OF REALTORS-December