San Francisco and Silicon Valley top the list. Southern California is catching up. In Los Angeles County, July prices fell for the first time since his June since Adam and Eve.
To wolf richter for wolf street.
It’s peak homebuying season in California, but soaring home prices, hallowed mortgage rates, the collapse of cryptocurrencies, the demise of DeFi, tech startups, SPACs, and IPO implosion, all of which are critical to the market. . The wealth, or perceived wealth, of many Californians has pulled the rug out from under California’s great housing market.
Single-family home (SFH) sales volume in California fell 14% seasonally in the June-July period, down 31% year-over-year, marking the 13th consecutive month of year-over-year declines, according to the U.S. Markets.com. California Real Estate Association.
July condo sales volume was down 18% from June and 36% year-over-year.
Prices ultimately track volume: Median single-family home prices fell 3.5% in June-July, the second month in a row of declines, and their year-on-year gains fell to just 2.8%. The median price for condos fell 2.3%, the third consecutive month of declines, capping year-over-year gains at 7.5%.
San Francisco and Silicon Valley lead the decline.
Home and condo sales across the San Francisco Bay Area are down 37% from a year ago.
Prices started to follow volume. Year-over-year, median home prices across the Bay Area fell for the first time since lockdowns in May 2020.
On a year-over-year basis, San Francisco led the way with a median drop of 8.2% year-over-year, followed by declines in three of the five counties covering San Francisco, Silicon Valley, and parts of the East Bay. We’ll talk about charts in a moment.
Southern California lags behind but is catching up.
Home sales are down 20% from June and down 37% year-on-year. In San Diego, July sales volume is down 21% from June, and year-over-year he’s down 41%. Sales declined 39% year-over-year in Orange County and 32% in Los Angeles County.
Prices ultimately follow volume, even in Southern California. In San Diego and Orange counties, the median fell for his third straight month.
In Los Angeles County, the median price peaked in September 2021 and has been up and down since then. However, in July it dropped. everytime It rises from June to July. This decline is put in a special light, as in 2009 he was up in June and July.
Market Jump Supply and Median Time.
all over californiathe supply of homes and condos for sale increased to 3.2 months from 1.9 months a year ago, the highest level since May 2020.
The median time on the market jumped from June 11th to July 14th, up from 8 days a year ago.
in the bay areasupply surged to 2.5 months in July, up from 2.0 months in June and up from 1.5 months in July last year.
The median time on the market jumped from June 12th to July 15th, up from 10 days a year ago.
in Southern Californiasupply surged to 3.3 months from 2.5 months last June, up from 1.9 months last July.
The median time on the market jumped from June 10th to July 13th, up from 8 days a year ago.
Median SFH for largest county.
The median is very volatile and should be considered very carefully, and trends should be seen over time. However, once the median drops significantly and the previous period’s large year-on-year gains are reduced to a small gain or year-on-year decline, the data points begin to gain significance as a trend. That’s what we’re starting to see now.
Bay Area leads price decline.
throughout the San Francisco Bay AreaIn July, the median price of single-family homes fell for the third month in a row, down 15.5% from its peak and down 0.1% year-on-year, the first year-on-year decline since lockdowns in May:
in San Francisco, home prices fell for the third month in a row, down 17% from their peak and down 8% year-on-year. These dropped very sharply, especially in his June and July, bringing the median back to its February 2018 initial value.
Located in San Mateo County in northern Silicon Valley, the median also fell for the third consecutive month, -18% from its peak and -7% year-on-year. These are the significant steep declines that have brought the median back to his March 2021 starting point.
Within Santa Clara County, including southern Silicon Valleythe median also fell for the third straight month, to -12% from its peak, but still +4% year-on-year, compared to a 20% rise last year.
In Alameda County in the East Bay, Home prices fell for the second month in a row, down -13% from their peak, but still +3% year-on-year.
In Contra Costa County in the East Bay, Home prices fell for the third month in a row, -14% from their peak and -4% year-on-year.
Southern California trying to catch up with Bay Area.
throughout Southern Californiahouse prices fell for the second month in a row, -4% from their peak, but still +6% year-on-year.
in San Diego Countythe median house price fell for the third straight month, down 5% from its peak, and the year-on-year increase slowed from last year’s 30% range to +8% in July.
in Los Angeles County, median home prices have plunged from their peak last September, down 4.5% from that peak. +4.5% YoY.
But wait… a special nugget: Seasonally, in LA County, the median price always goes up in June and July. The median was essentially flat during the 2008 housing crash. And even in July 2009, the median rose from his June as everything collapsed. This puts his 1.6% drop from June in July this year in a very special light.
In Orange County, median home prices fell for the third month in a row, down -7% from their peak. This saw him drop to 13% in July, after a year-on-year rise from a range of 27% earlier this year.
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