Yet again, the median price of condominiums sold throughout the San Fernando Valley set a record, rising 9.5 percent in July to $449,000, the Southland Regional Association of REALTORS® reported Friday, Aug. 17.
It beat the prior record, set in June, of $438,000 by 2.5 percent.
The condo median price surpassed the $400,000 benchmark only five times during the housing boom of last decade. It took until May 2017 for it to happen again, except this time every month since a year ago May has been above $400,000 and pushing ever closer to the rarefied air of a $450,000 condominium median price.
“Our soaring prices and limited inventory points to an irrefutable fact,” said Gary Washburn, president of the Southland Regional Association of REALTORS®. “There will be no price relief until more housing is built to satisfy pent-up demand.”
The median price of single-family homes sold during July in the San Fernando Valley came in at $690,500, 3.8 percent higher than a year ago and 2.5 percent below the record home high of $708,000 set this May.
“Prices are up, because inventory is low and housing production is minuscule compared to what is needed to establish and maintain a healthy and affordable housing market,” said Tim Johnson, the Association’s chief executive officer. “No doubt, tenants struggle to pay premium rents, yet any movement toward rent control will only make the situation worse.”
REALTORS® assisted the sale of 518 single-family homes and 159 condominiums throughout the San Fernando Valley last month, an increase of 6.6 percent from a year ago for home sales, yet off 16.3 percent for condominiums.
There were 1,388 active listings throughout the valley at the end of July, down 2. 7 percent from a year ago. At the current pace of sales, the inventory represented a 2.1-month supply, identical to the number reported in July 2017. For comparison, the 7,730 active listings total reported in October 2007 was the highest last decade, yet still well short of the record high 14,976 active listings of July 1992.
Of the combined 677 home and condo transactions, 666, or 98.4 percent, were standard sales involving traditional buyers and sellers. There were three short sales and three foreclosure-related transactions, with each representing a mere 0.4 percent of the market.
The Southland Regional Association of REALTORS® is a local trade association with more than 10,300 members serving the San Fernando and Santa Clarita Valleys. SRAR is one of the largest local associations in the nation.
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