California Housing Market: November 2024 Analysis
The California housing market in November 2024 presents a complex landscape characterized by both declining and rising trends across various metrics. The Median Sales Price for homes in the state stands at $831,400, reflecting a slight decrease of 0.8% year-over-year (YoY). This decline in sales price is mirrored by a more significant drop in the Median List Price, which is down by 4.8% YoY to $779,000. Despite these decreases, the median Price Per Square Foot has increased by 4.3% YoY, reaching $484, indicating a shift in buyer preferences towards smaller, more expensive properties.
In terms of sales activity, the market has experienced a notable increase. The number of Homes Sold has risen by 11.9% YoY, totaling 21,129 units. Pending Sales have also seen a positive trend, with a 9.0% YoY increase, reaching 22,821. This uptick in sales activity is occurring despite a 3.5% YoY decline in New Listings, which now number 20,648. The Inventory of Homes Available for sale has grown significantly, up 16.2% YoY to 61,619, contributing to a 10.0% YoY increase in the Months of Supply, now at 2.9 months.
The Median Days on Market for homes in California has increased by 8.0% YoY, now averaging 39 days. This suggests a slight slowdown in the speed at which homes are being sold. The average sale to list ratio remains stable at 100.0%, with a marginal decrease of 0.1% YoY. The percentage of Homes Sold above list price has decreased by 2.7% YoY to 39.0%, indicating a cooling in competitive bidding scenarios.
Price adjustments are also a notable feature of the current market. The proportion of listings experiencing Price Drops is 22.2%, a slight decrease of 0.8% YoY. Additionally, the percentage of homes going off the market within two weeks has decreased by 6.3% YoY, now at 28.2%, suggesting that buyers are taking more time to make purchasing decisions.
Overall, the California housing market in November 2024 is characterized by increased sales activity and inventory, alongside declining prices and a longer time on the market. These trends suggest a market that is adjusting to changing economic conditions and buyer preferences.
