The San Fernando Valley real estate market continues it’s transformation from being an overheated market seller’s market, to one of neutrality between buyers and sellers. The supply and demand has changed substantially over the past 10 months. The active inventory has increased substantially, and the quantity of sales have dropped off (see charts). The approx 3 month inventory to sales ratio is still lower than the historic average of 5-6 months, but enough where property appreciation has flattened, and many listed properties are taking price reductions.
Keep in mind we are still dealing with a excessively low interest rate environment, and the primary buying season. Unless there’s another dip in the overall economy, interest rates will potentially be higher come winter.
Rents regionally have jumped over the past year. Buying still can make financial sense for the majority of the population that can qualify for the purchase.
If you are in the Los Angeles area, have any questions or real estate sales or financing needs, feel free in contacting me.
Ron Henderson GRI, RECS, CIAS
President/Broker
Multi Real Estate Services, Inc.
Gov’t Affairs Chair – California Association of Mortgage Professionals
www.mres.com
ronh@mres.com
Real Estate market, mortgage rates, Los Angeles, San Fernando Valley, Conejo Valley, Simi Valley, Woodland Hills, West Hills, Calabasas, Chatsworth
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