California home sale prices are climbing at astronomically quick rates reaching an eight month high. March’s statewide median home price was $564,830, up 8.1 percent from February and 8.9 percent from March 2017. Alameda, Marin, San Mateo, Santa Clara, San Diego, and Orange counties all hit a new peak price at $955,000, $1,392,500, $1,615,000, $1,454,500, $625,400, and $824,450, respectively. The high percentage number can be accredited to the hike in home prices in Northern California where buyers are paying 17 percent over asking price.
The seasonally adjusted annualized rate in March was 423, 990 units which, if maintained, is representative of what would be the total number of homes sold during 2018 if March’s pace was to continue.
While sales in Northern California continue to be a hot, sales in Southern California has calmed down quite a bit.
Limited inventory continues to be a huge factor in California RE prices. The bottom end of the market continues to bear the brunt of the housing shortage as homes priced under $200,000 declined 32 percent on an annual basis, while homes priced $2 million and higher increased by 33 percent.