space. Though the demand is high, the supply doesn’t level with it; thus, taking the value of homes in L.A to exponential rates.
3. REDUCED UNSOLD INDEX
Because of the high demand for Los Angeles homes, sellers can sell their homes more quickly than before. The C.R.A. reports that the time from listing to selling experienced a massive reduction, slashing the unsold inventory index to 1.5 months, 1.9 months short of the previous figure of 3.4.
4. THE REAL ESTATE MARKET HAS GONE VIRTUAL
The Covid-19 pandemic came alongside it an increased necessity for doing business online. That has necessitated a change in approach to basically all forms of industry, the real estate business not excluded. L.A. home sellers are now more inclined to list their homes online. As a result, most realtor agents insist that the potential seller hires a professional real estate photographer to take attention-grabbing photos of the home. Photography has become such a key feature, to the extent that many home-owners go as far as staging their homes and carrying out minor renovations to make the home appealing to the buyer.
5. MORTGAGE APPLICATIONS ON THE RISE
With Los Angeles experiencing a reduced amount of interest rates on mortgage, applications are on the rise. In January alone the Mortgage Bankers Association reported a massive surge in the number of mortgage applications. This figure rose to the highest since March 2020, further pointing that many people are going all out to procure homes this period.
6. HIGH NUMBER OF HOME LISTINGS
Surveys by the C.R.A. suggest that many people are expected to sell their homes. 46% of realtor agents agree that in the coming weeks, the numbers of home listings are bound to increase. As the city continues to step out of the pandemic with vaccination measures put
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in place, many people are expected to sell their homes.
7. INCREASED DESIRE FOR SPACIOUS HOMES Most buyers, especially repeat buyers are bending towards spacious homes. People working from home are particularly on the lookout for homes with spacious surroundings. Listings of spacious homes are therefore bound to experience an increased number of sales.
8. SALES OF LUXURY HOMES ON THE RISE
Many people are on the lookout to purchase a luxury home, be it by the beachside or at a place where one can get a pretty view of the city. Los Angeles is an affluent city, and a great way to show off that affluence is through the home in which a person lives. However, while some may go for the outright buying of a luxury home, others may choose to rent instead.
9. CONDO SALES ARE EQUALLY INCREASING
The sales of condo homes are also on the rise. Condo homes recorded massive double-digit sales over the past year. The listing price rose to a figure of about $485,000. This figure has since seen enormous growth in 2021, and the median price of condo houses has risen to $500,000.
10. A COMPETITIVE BUYERS MARKET
The buyers market in L.A real estate is a very competitive one. The increased demand and the tight supply haven’t helped one bit. There could be further competition in the market in 2021, so buyers wishing to procure L.A homes should take quick and decisive actions so as not to be left wishing for a home already bought by another person.
References https://managecasa.com/articles/california-housing-marketreport/ https://www.noradarealestate.com/blog/los-angeles-realestate-market/ https://www.noradarealestate.com/blog/california-housingmarket/ https://www.google.com/amp/s/www.quickenloans.com/blog/ real-estate-trends-watch/amp l
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