Los Angeles Real Estate Market Update MAY/JUNE 2024

The California real estate market, kicked off the spring homebuying season with an encouraging start. April home sales at the state level improved moderately from last month and were up from the same month of last year, while the statewide median price soared to the highest level on record. Housing supply continued to improve, with new active listings surging by double-digits from a year ago for the fourth consecutive month.

With rates cooling off since the start of May, more buyers could reenter the market in the coming weeks as the market moves further into the homebuying season.

The median price of existing single-family homes in California reached a new all-time high of $904,210, an increase of 5.8% from March and a surge of 11.4% from the $811,510 in April 2023. It was the first time in California history that the statewide median price exceeded $900,000. More new records will likely be set before the end of the summer though, as seasonal factors and tight inventory conditions will continue to put upward pressure on prices in the coming months.

Solid new home sales suggest that homebuyers still want to buy if they can find a way to get back into the market. With the improvement in housing supply conditions expected to continue throughout the summer and rates projected to moderate more consistently in the second half of the year, more buyers should reenter the market in the later part of the homebuying season.

The median sales price of existing single-family homes in Los Angeles reached $825,970 in April 2024. This represents a healthy increase of 2.6% compared to March 2024 and a significant 11.8% jump year-over-year. Los Angeles hasn't just kept pace with the statewide growth; it's slightly outperformed it.

What Does This Mean for You?

The Los Angeles housing market shows no signs of slowing down. Prices are rising, and buyers are actively competing for available properties. If you're considering buying a home in Los Angeles, be prepared to move fast and potentially engage in bidding wars. For investors, the market offers the possibility of long-term appreciation, but competition will likely be fierce.