The latest California housing market trends and forecast — all point to the fact — that the market will continue its recovery from the economic shock led by the coronavirus pandemic.
Sales are expected to continue to improve for the remainder of 2020 and increase modestly again in 2021. Interest rates will remain low, giving buyers purchasing power and home prices a boost. Buyer demand remains robust and that has already pushed California’s median price above $700,000. However, inventory is expected to remain a challenge that will keep sales growth in the single digits next year, as reported by C.A.R.
CAR's latest weekly California housing data (October 11 – 19) shows that after remaining unseasonably strong through September, closed transactions continue to drop. An average of 785 daily closed transactions was reported in the past week. That is down 13.0% from the previous week and was led by double-digit declines in almost every part of the state.