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Tempering Mortgage Rates Propel California Home Sales in January

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  • Existing, single-family home sales totaled 256,160 in January on a seasonally adjusted annualized rate, up 14.4 percent from 224,000 in December and up 5.9 percent from 241,920 in January 2023.
  • January’s statewide median home price was $788,940, down 3.8 percent from December and up 5.0 percent from $751,700 in January 2023.
  • Year-to-date statewide home sales were down 5.9 percent.

Los Angeles, CA – Feb. 16, 2024 (PRNewswire) California existing home sales rebounded in January to the highest level in six months as mortgage rates pulled back sharply at the end of 2023, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) said today.

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Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 256,160 in January, according to information collected by C.A.R. from more than 90 local REALTOR® associations and MLSs statewide. The statewide annualized sales figure represents what would be the total number of homes sold during 2024 if sales maintained the January pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.

January’s sales pace climbed 14.4 percent higher from the revised 224,000 homes sold in December and was down 5.9 percent from a year ago, when a revised 241,920 homes were sold on an annualized basis. While the increase in January was the first year-over-year sales gain in 31 months, the sales pace stayed below the 300,000-unit threshold for the 16th straight month and will likely stay below that level in the first quarter of 2024. With interest rates moderating sharply at the end of 2023 and leveling off nearly 100 basis points below the most recent peak, home sales should continue to grow year-over-year in February, but the improvement will be modest.

“It’s encouraging to see California’s housing market kick off the year with positive sales growth in January,” said C.A.R. President Melanie Barker, a Yosemite REALTOR®. “While we’ll likely experience some ups and downs in home sales in the coming months as rates continue to fluctuate, the lending environment is expected to be more favorable in 2024, so the market should see more pent-up demand translate into sales.”

Tempering mortgage rates propel California home sales in January.
Tempering mortgage rates propel California home sales in January.

Infographic: https://www.car.org/Global/Infographics/2024-01-Sales-and-Price

While California’s statewide median home price decreased 3.8 percent from December’s $819,740 to $788,940 in January, it registered a 5.0 year-over-year gain, the seventh straight month of annual price gains. The monthly price decline was due primarily to seasonal factors, and the January figure marked the first time in ten months that the median price dropped below the $800,000 benchmark. With mortgage rates softening since mid-October, home prices will likely maintain their upward momentum, and the market should continue to observe a mid- to single-digit, year-over-year growth rate in California’s median price in at least the early part of 2024.

“The increase in new active listings for the first time in 19 months was great news for the California housing market,” said C.A.R. Senior Vice President and Chief Economist Jordan Levine. “With rates climbing back up to a two-month high earlier this week due to the latest inflation concerns, potential home sellers could hit the pause button on listing their house on the market and wait until rates begin to ease again. In general, rates are expected to decline later this year, and available inventory should slowly improve throughout 2024.”    

Other key points from C.A.R.’s January 2024 resale housing report include:

  • At the regional level, sales in all major regions rose in January on a year-over-year basis, with the Central Valley region recording the largest increase of 12.5 percent from a year ago. The Far North (6.8 percent), San Francisco Bay Area (6.2 percent) and Central Coast (5.2 percent) were the other major regions posting modest sales growth of 5 percent or more from the prior year. Southern California (2.2 percent) also registered an increase from a year ago, but at a more moderate pace.
  • Fourteen of the 52 counties tracked by C.A.R. registered a sales decline from a year ago, with 7 counties dropping more than 10 percent year-over-year and four counties falling more than 20 percent from last January. Mono (-50.0 percent) registered the biggest sales dip, followed by Trinity (-33.3 percent) and Glenn (-25.0 percent). Thirty-six counties logged a sales increase from last year, with Siskiyou (72.7 percent) gaining the most year-over-year, followed by San Benito (66.7 percent) and Tuolumne (62.2 percent). 
  • At the regional level, all but one major region recorded an annual increase in their median prices. The San Francisco Bay Area posted a 10.6 percent year-over-year jump. The median price in Southern California (7.0 percent), Central Valley (6.8 percent) and the Central Coast (3.5 percent) also jumped from a year ago in January, but the growth was more moderate. The Far North (-2.0 percent) was the only region of the state to record a price decline when compared to January 2023, with three of its seven counties posting price drops from a year ago.
  • Home prices continued to show year-over-year improvement in many counties, with 41 counties across the state registering a median price higher than what was recorded a year ago. Santa Barbara (43.8 percent) registered the biggest price increase in January, followed by Mendocino (27.0 percent) and Marin (26.9 percent). Nine counties logged median price decreases from last year, with Siskiyou dropping the most at -14.7 percent, followed by Lassen (-11.9 percent) and Glenn (-11.1 percent).
  • Unsold inventory statewide increased 28 percent on a month-over-month basis and declined from January 2023 by -8.6 percent. The Unsold Inventory Index (UII), which measures the number of months needed to sell the supply of homes on the market at the current sales rate declined from 2.5 months in December to 3.2 months in January. The index was 3.5 months in January 2023.
  • Active listings at the state level dipped again on a year-over year basis for the 10th straight month in January, but the decline was the smallest ― a sign that active listings might be heading in the right direction as the market approaches the spring homebuying season.  That said, while the reprieve in mortgage rates might have provided some hope that more for-sale properties would be listed as we kick off the new year, the jump in mortgage rates in the past couple of weeks could cause potential sellers to reconsider listing their homes for sale.
  • Active listings declined from a year-ago in 35 counties in January, with 17 of them registering a double-digit decrease at the beginning of this year.  Contra Costa had the biggest year-over-year dip at -36.0 percent, followed by Mono (-33.3 percent) and Santa Clara (-31.8 percent).  Sixteen counties recorded a year-over-year gain, with El Dorado jumping the most with an increase of 32.0 percent from a year ago, followed by Santa Barbara (31.6 percent) and Nevada (28.9 percent).  On a month-to-month basis, 34 counties recorded a drop in active listings last month while 18 counties recorded a monthly increase in for-sale properties in January with active listings in Shasta (143.6 percent) more than doubled. 
  • New active listings at the state level increased from a year ago for the first time in 19 months, and the annual increase was the largest since May 2022. The jump in new active listings contributed to an improvement in overall active listings, and the sharp drop in rates at the end of 2023 was likely the motivating factor that convinced more homeowners to sell their homes. 
  • The median number of days it took to sell a California single-family home was 32 days in January and 39 days in January 2023.
  • C.A.R.’s statewide sales-price-to-list-price ratio* was 98.9 percent in January 2023 and 96.5 percent in January 2023.
  • The statewide average price per square foot** for an existing single-family home was $386, up from $370 in January a year ago.
  • The 30-year, fixed-mortgage interest rate averaged 6.64 percent in January, up from 6.27 percent in January 2023, according to C.A.R.’s calculations based on Freddie Mac’s weekly mortgage survey data. 

Note:  The County MLS median price and sales data in the tables are generated from a survey of more than 90 associations of REALTORS® throughout the state and represent statistics of existing single-family detached homes only. County sales data is not adjusted to account for seasonal factors that can influence home sales. Movements in sales prices should not be interpreted as changes in the cost of a standard home. The median price is where half sold for more and half sold for less; medians are more typical than average prices, which are skewed by a relatively small share of transactions at either the lower end or the upper end. Median prices can be influenced by changes in cost, as well as changes in the characteristics and the size of homes sold. The change in median prices should not be construed as actual price changes in specific homes.

*Sales-to-list-price ratio is an indicator that reflects the negotiation power of home buyers and home sellers under current market conditions. The ratio is calculated by dividing the final sales price of a property by its original list price and is expressed as a percentage. A sales-to-list ratio with 100 percent or above suggests that the property sold for more than the list price, and a ratio below 100 percent indicates that the price sold below the asking price.

**Price per square foot is a measure commonly used by real estate agents and brokers to determine how much a square foot of space a buyer will pay for a property. It is calculated as the sale price of the home divided by the number of finished square feet. C.A.R. currently tracks price-per-square foot statistics for 51 counties.

Leading the way…® in California real estate for more than 117 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States with more than 200,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

January 2023 County Sales and Price Activity 
(Regional and condo sales data not seasonally adjusted)
January 2024Median Sold Price of Existing Single-Family HomesSales
State/Region/CountyJan.2024Dec.2023Jan.2023Price
MTM%
Chg		Price
YTY%
Chg		 Sales
MTM%
Chg		 Sales
YTY%
Chg
Calif. Single-family homes$788,940$819,740$751,700r-3.8 %5.0 %14.4 %5.9 %
Calif. Condo/Townhomes$630,000$635,000$580,000-0.8 %8.6 %-7.8 %14.2 %
Los Angeles Metro Area$750,000$760,000$700,000-1.3 %7.1 %-14.6 %2.8 %
Central Coast$926,000$979,500$894,500-5.5 %3.5 %-11.3 %5.2 %
Central Valley$460,000$462,000$430,750r-0.4 %6.8 %-9.2 %12.5 %
Far North$361,500$364,500$369,000r-0.8 %-2.0 %-6.9 %6.8 %
Inland Empire$559,280$570,000$540,000-1.9 %3.6 %-12.1 %5.3 %
San Francisco Bay Area$1,100,000$1,182,000$995,000r-6.9 %10.6 %-24.3 %6.2 %
Southern California$790,000$790,000$738,2500.0 %7.0 %-12.2 %2.2 %
San Francisco Bay Area
Alameda$1,103,000$1,175,000$1,015,000r-6.1 %8.7 %-33.6 %-10.7 %
Contra Costa$770,000$800,000$725,000r-3.8 %6.2 %-17.0 %8.7 %
Marin$1,524,500$1,555,000$1,201,000-2.0 %26.9 %-38.3 %56.8 %
Napa$989,500$925,000$790,0007.0 %25.3 %-30.6 %3.0 %
San Francisco$1,530,000$1,450,000$1,385,0005.5 %10.5 %-20.5 %-5.1 %
San Mateo$1,975,000$1,800,000$1,625,0009.7 %21.5 %-45.7 %-7.0 %
Santa Clara$1,710,440$1,725,000$1,530,000-0.8 %11.8 %-22.8 %19.7 %
Solano$575,000$562,000$580,0002.3 %-0.9 %2.0 %11.5 %
Sonoma$829,900$812,930$781,9302.1 %6.1 %-19.0 %15.1 %
Southern California
Los Angeles$833,000$853,340$778,540-2.4 %7.0 %-17.1 %0.8 %
Orange$1,320,000$1,300,000$1,194,5001.5 %10.5 %-14.8 %-1.0 %
Riverside$610,000$607,500$585,0000.4 %4.3 %-9.7 %-0.1 %
San Bernardino$477,500$506,000$446,900-5.6 %6.8 %-15.9 %15.6 %
San Diego$925,000$911,500$824,900r1.5 %12.1 %-0.9 %0.0 %
Ventura$870,000$882,500$815,000-1.4 %6.7 %-10.0 %15.8 %
Central Coast
Monterey$825,000$929,000$850,000-11.2 %-2.9 %-9.7 %-4.1 %
San Luis Obispo$910,000$956,000$795,750-4.8 %14.4 %-8.3 %28.7 %
Santa Barbara$1,280,000$1,190,000$890,0007.6 %43.8 %-1.7 %1.8 %
Santa Cruz$1,190,000$1,050,000$1,170,00013.3 %1.7 %-32.1 %-9.8 %
Central Valley
Fresno$406,000$397,000$375,0002.3 %8.3 %-9.6 %15.5 %
Glenn$349,000$349,500$392,500-0.1 %-11.1 %-47.1 %-25.0 %
Kern$375,000$374,180$357,5000.2 %4.9 %6.4 %4.0 %
Kings$365,000$380,000$365,000-3.9 %0.0 %-31.0 %-7.5 %
Madera$466,080$410,500$387,46013.5 %20.3 %-41.9 %28.4 %
Merced$380,000$385,000$369,000-1.3 %3.0 %15.1 %45.2 %
Placer$620,000$633,020$620,000r-2.1 %0.0 %-14.8 %13.8 %
Sacramento$515,000$535,000$499,000r-3.7 %3.2 %-10.8 %5.5 %
San Benito$760,000$789,890$719,000-3.8 %5.7 %-9.1 %66.7 %
San Joaquin$530,000$530,000$509,900r0.0 %3.9 %-2.2 %21.9 %
Stanislaus$450,000$462,500$410,000r-2.7 %9.8 %3.8 %24.6 %
Tulare$349,000$362,000$332,720-3.6 %4.9 %-11.0 %3.2 %
Far North
Butte$390,000$418,000$410,000-6.7 %-4.9 %-18.3 %-14.7 %
Lassen$229,000$272,500$260,000-16.0 %-11.9 %-68.2 %-22.2 %
Plumas$363,620$360,000$350,0001.0 %3.9 %0.0 %54.5 %
Shasta$395,000$355,760$373,75011.0 %5.7 %11.6 %11.6 %
Siskiyou$329,000$331,500$385,860-0.8 %-14.7 %-32.1 %72.7 %
Tehama$340,000$305,000$314,90011.5 %8.0 %18.2 %4.0 %
Trinity$402,500$287,000$380,00040.2 %5.9 %-66.7 %-33.3 %
Other Calif. Counties
Amador$444,500$415,000$399,000r7.1 %11.4 %40.7 %22.6 %
Calaveras$434,500$437,500$455,000-0.7 %-4.5 %29.4 %7.3 %
Del Norte$295,000$487,000$300,000-39.4 %-1.7 %-25.0 %28.6 %
El Dorado$650,000$660,000$575,000r-1.5 %13.0 %-9.2 %25.3 %
Humboldt$410,000$425,000$395,000-3.5 %3.8 %-42.6 %5.9 %
Lake$325,000$315,000$310,0003.2 %4.8 %21.6 %4.7 %
Mariposa$431,500$442,000$372,500-2.4 %15.8 %-25.0 %0.0 %
Mendocino$494,000$599,000$389,000-17.5 %27.0 %68.0 %55.6 %
Mono$1,304,500$1,052,500$1,125,50023.9 %15.9 %-66.7 %-50.0 %
Nevada$525,000$537,000$470,000-2.2 %11.7 %-22.7 %31.6 %
Sutter$435,000$429,500$395,000r1.3 %10.1 %-14.3 %-16.3 %
Tuolumne$360,750$444,000$388,000-18.8 %-7.0 %5.3 %62.2 %
Yolo$600,360$630,000$530,000r-4.7 %13.3 %13.4 %40.7 %
Yuba$455,000$440,000$425,0003.4 %7.1 %7.0 %9.5 %

r = revised

January 2023 County Unsold Inventory and Days on Market 
(Regional and condo sales data not seasonally adjusted)
January 2024Unsold Inventory IndexMedian Time on Market
State/Region/CountyJan.2024Dec.2023Jan.2023Jan.2024Dec.2023Jan.2023
Calif. Single-family homes3.22.53.5r32.026.039.0r
Calif. Condo/Townhomes3.22.53.531.027.036.0r
Los Angeles Metro Area3.42.73.832.027.041.0r
Central Coast3.63.03.529.019.033.0r
Central Valley3.12.63.5r30.025.039.0r
Far North4.63.24.9r43.037.050.0r
Inland Empire4.03.34.440.034.046.0r
San Francisco Bay Area2.31.52.6r31.023.033.0r
Southern California3.22.63.630.026.039.0r
San Francisco Bay Area
Alameda1.90.92.0r19.015.027.0r
Contra Costa1.71.22.4r28.518.031.0r
Marin2.51.54.557.566.072.0
Napa6.04.15.9104.085.084.0
San Francisco2.81.52.985.048.049.5r
San Mateo2.71.12.417.517.022.0
Santa Clara1.81.12.511.012.022.5
Solano2.72.92.949.045.058.0
Sonoma3.12.53.365.061.543.5
Southern California
Los Angeles3.22.63.728.023.037.0r
Orange2.72.03.128.024.041.0r
Riverside4.03.34.340.032.045.0r
San Bernardino3.93.34.740.038.047.0r
San Diego2.62.22.721.518.032.0r
Ventura2.92.43.437.037.041.0r
Central Coast
Monterey3.93.23.929.014.033.0
San Luis Obispo3.63.14.331.027.041.0r
Santa Barbara3.53.22.621.514.518.5
Santa Cruz3.62.23.340.024.035.0
Central Valley
Fresno3.53.14.231.021.036.0r
Glenn4.31.92.910.054.036.5r
Kern2.82.83.124.019.032.5
Kings3.62.23.522.042.053.0
Madera6.53.57.252.530.038.0r
Merced3.23.24.447.036.047.5r
Placer3.02.43.8r35.033.043.0r
Sacramento2.42.02.7r26.027.039.5r
San Benito3.73.05.655.539.027.5
San Joaquin2.62.42.9r31.522.046.0r
Stanislaus2.72.73.3r31.019.036.0r
Tulare3.73.03.828.026.034.5
Far North
Butte3.83.13.929.027.050.0r
Lassen13.14.210.941.047.0128.0
Plumas4.24.96.989.0102.085.0r
Shasta3.61.64.237.033.541.5
Siskiyou8.46.113.227.037.5134.0r
Tehama4.05.05.869.083.566.0
Trinity43.014.2NA258.0139.533.0
Other Calif. Counties
Amador4.36.64.6r64.034.058.0r
Calaveras4.05.24.454.569.581.0
Del Norte9.27.310.138.069.063.0r
El Dorado4.73.24.458.550.051.0r
Humboldt7.74.16.830.537.524.0
Lake7.38.86.493.055.059.0r
Mariposa6.24.85.471.531.065.5r
Mendocino6.411.78.496.0109.0131.0
Mono9.52.86.321.571.5160.5
Nevada3.62.73.950.053.050.0r
Sutter2.62.42.816.028.040.0r
Tuolumne3.23.95.255.548.066.0r
Yolo2.62.73.0r40.534.044.5r
Yuba4.24.74.9r57.036.045.5r

r = revised

SOURCE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.)

Elevated Interest Rates and Home Inventory Shortage Keep California Housing Affordability at 16-year Low

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  • Fifteen percent of California households could afford to purchase the $833,170 median-priced home in the fourth quarter of 2023, unchanged from 15 percent in third-quarter 2023 and down from 17 percent in fourth-quarter 2022.
  • A minimum annual income of $222,800 was needed to make monthly payments of $5,570, including principal, interest and taxes on a 30-year fixed-rate mortgage at a 7.39 percent interest rate.
  • Twenty-two percent of home buyers were able to purchase the $650,000 median-priced condo or townhome. A minimum annual income of $174,000 was required to make a monthly payment of $4,350.

Los Angeles, CA – Feb. 8, 2024 (PRNewswire) Elevated borrowing costs and a shortage of available homes for sale in the fourth quarter of 2023 kept California housing affordability suppressed at the lowest level in 16 years, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) said today.

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While unchanged from third-quarter 2023, only 15 percent of home buyers could afford to purchase a median-priced, existing single-family home in California in fourth-quarter 2023. The fourth quarter 2023 figure was down from 17 percent a year ago, according to C.A.R.’s Traditional Housing Affordability Index (HAI). The fourth-quarter 2023 figure is less than a third of the affordability index peak high of 56 percent in the first quarter of 2012.

C.A.R.’s HAI measures the percentage of all households that can afford to purchase a median-priced, single-family home in California. C.A.R. also reports affordability indices for regions and select counties within the state. The index is considered the most fundamental measure of housing well-being for home buyers in the state.

A minimum annual income of $222,800 was needed to qualify for the purchase of a $833,170 statewide median-priced, existing single-family home in the fourth quarter of 2023. The monthly payment, including taxes and insurance (PITI) on a 30-year, fixed-rate loan, would be $5,570, assuming a 20 percent down payment and an effective composite interest rate of 7.39 percent. This marked the second consecutive quarter that the effective interest rate rose above 7 percent in more than two decades. The effective composite interest rate was 7.14 percent in third-quarter 2023 and 6.8 percent in fourth-quarter 2022.

Elevated interest rates and home inventory shortage keep California housing affordability at 16-year low.
Elevated interest rates and home inventory shortage keep California housing affordability at 16-year low.

Infographic: https://www.car.org/Global/Infographics/HAI-2023-Q4

While interest rates have trended downward for most of fourth-quarter 2023, dropping about 100 basis points from the peak recorded in mid-October, they have leveled off in recent weeks and remained elevated since the start of 2024. Moreover, as recent economic data continues to defy expectations of a slowing economy, the Federal Reserve could hold off on rate cutting at their upcoming March meeting. As such, rates are expected to remain elevated through the first half of the year and will continue to put downward pressure on affordability.

The median price of condominiums and townhomes in California held up better than single-family homes from both the previous quarter and a year ago. As a result, the share of households that could afford a typical condo/townhome in fourth-quarter 2023 dipped to 22 percent from the 23 percent recorded in the previous quarter and was down from the 26 percent recorded in the fourth quarter of 2022. An annual income of $174,000 was required to make the monthly payment of $4,350 on the $650,000 median-priced condo/townhome in the fourth quarter of 2023.

Compared with California, more than a third of the nation’s households could afford to purchase a $391,700 median-priced home, which required a minimum annual income of $104,800 to make monthly payments of $2,620. Nationwide affordability was down from 38 percent a year ago.

Key points from the fourth-quarter 2023 Housing Affordability report include:

  • When compared to the previous quarter, housing affordability declined in 15 counties and remained unchanged in 17. Nineteen counties showed quarter-to-quarter improvements in affordability due to more modest price declines in comparison to other counties during that same time period. Compared to a year ago, five counties saw an improvement in affordability, while 39 counties recorded a decline on a year-over-year basis, and seven remained unchanged.
  • Lassen (49 percent) remained the most affordable county in California. Together with Tehama (40 percent), they were the only two counties to record an affordability index of 40 percent or higher in the fourth quarter of 2023. Shasta (36 percent) trailed behind as a distant third, making them the only three counties in California to record an affordability greater than 35 percent – all located in the Far North region of the State. Of all counties in California, Lassen required the lowest minimum qualifying income ($66,800) to purchase a median-priced home in fourth-quarter 2023.
  • Mono (5 percent), Monterey (8 percent), and San Luis Obispo (8 percent) were the least affordable counties in California, with each county requiring at least a minimum income of $242,800 to purchase a median-priced home in their counties. San Mateo continued to require the highest minimum qualifying income ($518,400) to buy a median-priced home in the fourth quarter of 2023 and was the only county in California that required a minimum qualifying income more than $500,000. Santa Clara County came in second with a minimum required income of $468,000, followed by Marin ($441,200).
  • Housing affordability declined the most on a year-over-year basis in Mariposa, falling nine points from fourth-quarter 2022 to fourth-quarter 2023. Kings, Stanislaus and Yuba registered the second biggest drop in affordability, moving six points below the same quarter of last year, followed closely by San Bernardino, Glenn, Merced, Sacramento and Lassen, each dropping five points from a year ago. Despite higher household income, higher home prices and elevated mortgage rates continued to keep costs of borrowing near all-time highs and housing affordability near all-time lows across most counties.

See C.A.R.’s historical housing affordability data.
See first-time buyer housing affordability data.

Leading the way…® in California real estate for more than 117 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States with more than 200,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

CALIFORNIA ASSOCIATION OF REALTORS®
Traditional Housing Affordability Index
Fourth quarter 2023
Fourth Qtr. 2023C.A.R. Traditional Housing Affordability Index
STATE/REGION/COUNTY4 Qtr.
2023		2 Qtr
2023		4 Qtr
 2022		Median
Home Price		Monthly
Payment
Including
Taxes &
Insurance		Minimum
Qualifying
Income
Calif. Single-family home151517$833,170$5,570$222,800
Calif. Condo/Townhome222326$650,000$4,350$174,000
Los Angeles Metro Area141418$775,000$5,180$207,200
Inland Empire202023$565,510$3,780$151,200
San Francisco Bay Area191920$1,230,000$8,220$328,800
United States353438$391,700$2,620$104,800
San Francisco Bay Area
Alameda161618r$1,210,000$8,090$323,600
Contra Costa232225$830,000$5,550$222,000
Marin161818$1,649,500$11,030$441,200
Napa161516$909,000$6,080$243,200
San Francisco202120$1,565,000$10,460$418,400
San Mateo171719$1,938,400$12,960$518,400
Santa Clara181720$1,750,250$11,700$468,000
Solano252427$580,000$3,880$155,200
Sonoma151517$825,000$5,520$220,800
Southern California
Los Angeles111113$884,410$5,910$236,400
Orange111113$1,299,500$8,690$347,600
Riverside191921$619,000$4,140$165,600
San Bernardino242529$488,970$3,270$130,800
San Diego111115$931,600$6,230$249,200
Ventura131316$899,950$6,020$240,800
Central Coast
Monterey8912$994,000$6,640$265,600
San Luis Obispo81011$907,500$6,070$242,800
Santa Barbara101011$1,094,350$7,320$292,800
Santa Cruz131313$1,200,000$8,020$320,800
Central Valley
Fresno282730$405,680$2,710$108,400
Glenn303035$349,750$2,340$93,600
Kern282830$380,000$2,540$101,600
Kings292735$362,000$2,420$96,800
Madera292931$416,000$2,780$111,200
Merced293034$385,000$2,570$102,800
Placer282729$650,000$4,350$174,000
Sacramento232328$535,000$3,580$143,200
San Benito151618$780,000$5,210$208,400
San Joaquin222326r$546,100$3,650$146,000
Stanislaus232429$465,000$3,110$124,400
Tulare313032$365,000$2,440$97,600
Far North
Butte292829$420,830$2,810$112,400
Lassen495854$249,500$1,670$66,800
Plumas333131$390,000$2,610$104,400
Shasta363539$366,500$2,450$98,000
Siskiyou323431$306,250$2,050$82,000
Tehama403940$308,440$2,060$82,400
Other Calif. Counties
Amador312634$410,000$2,740$109,600
Calaveras312730$446,000$2,980$119,200
Del Norte262825$410,000$2,740$109,600
El Dorado232325$655,500$4,380$175,200
Humboldt242324$429,500$2,870$114,800
Lake283028$332,500$2,220$88,800
Mariposa181627$442,000$2,950$118,000
Mendocino181514$477,500$3,190$127,600
Mono557$1,027,500$6,870$274,800
Nevada242327$543,000$3,630$145,200
Sutter313133r$418,750$2,800$112,000
Tuolumne323136$403,750$2,700$108,000
Yolo222324$627,740$4,200$168,000
Yuba242630$436,250$2,920$116,800
r = revised

Traditional Housing Affordability Indices (HAI) were calculated based on the following effective composite interest rates: 7.39% (4Qtr. 2023), 7.14% (3Qtr. 2023) and 6.8% (4Qtr. 2022).

SOURCE CALIFORNIA ASSOCIATION OF REALTORS

California Home Sales Remain Muted In October As Elevated Interest Rates Keep Homebuyers And Sellers On The Sideline, C.A.R. Reports

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  • Existing, single-family home sales totaled 241,770 in October on a seasonally adjusted annualized rate, up 0.3 percent from September and down 11.9 percent from October 2022.
  • October’s statewide median home price was $840,360, down 0.4 percent from September and up 5.3 percent from October 2022.
  • Year-to-date statewide home sales were down 27.2 percent in October.

LOS ANGELES, Nov. 17, 2023 (PRNewswire) California home sales were essentially flat in October, as the cost of borrowing remained elevated and housing inventory continued to be tight, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) said today.

Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 241,770 in October, according to information collected by C.A.R. from more than 90 local REALTOR® associations and MLSs statewide. The statewide annualized sales figure represents what would be the total number of homes sold during 2023 if sales maintained the October pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.

October’s sales pace was up 0.3 percent on a monthly basis from 240,940 in September and down 11.9 percent from a year ago, when a revised 274,410 homes were sold on an annualized basis. Sales of existing single-family homes in California remained below the 250,000-unit pace for the second consecutive month. The annual decline was the 28th straight drop, but the decline was the smallest in the last four months.

“A sizable jump in interest rates kept home sales constrained in October and will likely hamper home sales for the remainder of the year,” said C.A.R. President Jennifer Branchini, a Bay Area REALTOR®. “Despite rates remaining elevated, many other factors have swung in favor of buyers recently including more properties staying on the market longer before selling and fewer homes selling over list price, which could motivate more sellers to offer concessions.”

Home prices rose again from the year-ago level for the fourth straight month, as the statewide median price recorded its largest year-over-year gain in 17 months. California’s statewide median price dipped 0.4 percent from September’s $843,340 to $840,360 in October and rose 5.3 percent from a revised $798,140 recorded a year ago. While October’s median price took a step back from the month prior, the month-to-month decline was smaller than the long-run September-to-October price adjustment of -1.5 percent observed in the last 44 years. Prices are expected to level off in the next couple of months, following the traditional seasonal pattern. Positive year-over-year price growth should remain throughout the rest of the year as housing supply is projected to be tight in the coming months.

California home sales remain muted as elevated interest rates keep homebuyers and sellers on the sideline.
California home sales remain muted as elevated interest rates keep homebuyers and sellers on the sideline.

“With the Federal Reserve pausing rate hikes at the last Federal Open Market Committee meeting and recent economic news pointing to a slowing economy, mortgage rates have been coming down in recent weeks,” said C.A.R. Senior Vice President and Chief Economist Jordan Levine. “If inflation continues to cool, we could see more improvement in mortgage rates than the Fed is currently projecting for next year, which would alleviate some pressure on both the buy and sell sides of the housing market in 2024.”

Other key points from C.A.R.’s October 2023 resale housing report include:

  • At the regional level, all major regions except one dipped in October on a year-over-year basis, with one dropping more than 10 percent from a year ago. The Central Valley region experienced the biggest sales dip of -11.3 percent from last year, followed by Southern California (-7.4 percent), the San Francisco Bay Area (-3.9 percent) and the Far North (-2.3 percent). The Central Coast (1.9 percent) was the only region that posted a sales increase from last October.
  • Thirty-six of the 52 counties tracked by C.A.R. registered a sales decline from a year ago in October, with 16 counties dropping more than 10 percent and four counties falling more than 20 percent from last October. Del Norte (-47.4 percent) had the biggest dip in sales, followed by Stanislaus (-28.0 percent), and Tehama (-25.0 percent). Fifteen counties increased in sales from last year, with Trinity (600 percent) gaining the most year-over-year, followed by Napa (49.1 percent) and Lassen (46.7 percent).
  • At the regional level, home prices increased from a year ago in all except one major region in October. The Central Coast recorded the largest year-over-year gain in its median price (12 percent) and was the only region with a double-digit price increase from a year ago. Three out of four counties within the Central Coast region posted an annual price gain, with Monterey (29.8 percent) and Santa Barbara (22.9 percent) both registering price gains of over 20 percent from the prior year. The Southern California region (6.5 percent), the San Francisco Bay Area (5.7 percent) and the Central Valley (4.0 percent) also experienced modest median price increases from a year ago. The Far North region (-4.3 percent) was the only region that registered a price decline from October 2022.
  • Home prices improved in many counties across the state, but 13 counties continued to register a year-over-year decline in their median prices in October. Del Norte posted the biggest price decline with a drop of -21.1 percent from last October, followed by Mendocino (-17.7 percent) and Lassen (-14.8 percent). On the other hand, 39 counties recorded an annual median price increase, with Tehama (35.8 percent) recording the biggest jump, followed by Monterey (29.8 percent) and Santa Barbara (22.9 percent).
  • At least half of the homes sold above their asking price in five California counties. Four of those five counties were in the Bay Area region. Alameda (72 percent) recorded the biggest share in the entire state, followed by San Francisco (67 percent), Santa Clara (65 percent) and San Mateo (58 percent). Glenn County (50 percent) in the Central Valley region was the remaining county with half of its homes selling above the asking price.
  • Housing supply in California continued to shrink from a year ago in October as mortgage rates remained elevated. The statewide unsold inventory index (UII), which measures the number of months needed to sell the supply of homes on the market at the current sales rate, was 2.7 months in October 2023 and 3.1 months last October.
  • Housing inventory in California slid back in October from the prior month as the market continued to grapple with high mortgage rates. The statewide unsold inventory index (UII) decreased -3.6 percent on a month-over-month basis and fell below last October by -12.9 percent. Active listings at the state level continued to dip on a year-over year basis for seven straight months, and a further decline in each of the last six months all registered more than 20 percent year-over-year. That said, mortgage rates have been coming down in recent weeks as the Fed paused rate hikes at the latest meeting and recent economic news pointed to a slowing economy. Further decline in mortgage rates should alleviate pressures on both the supply side and the demand side of the housing market in the coming months.
  • Nearly two-thirds of all counties (31) registered declines in active listings from last year, with 27 of them dropping more than 10 percent on a year-over-year basis. Mono (-40.6 percent) posted the biggest year-over-year drop in October, followed by Contra Costa (-40.2 percent) and Merced (-35.1 percent). Nineteen counties recorded a year-over-year gain, with Mariposa registering the largest yearly gain of 38.1 percent, followed by Del Norte (31.8 percent) and Amador (29.1 percent). On a month-to-month basis, over half of the counties (28) experienced a drop in active listings, while 22 counties recorded a monthly increase as the market moved into the off home-buying season.
  • New active listings at the state level dropped from a year ago for the 16th consecutive month, but the rate of decline continued to decelerate. In fact, newly added for-sale properties dipped less than 10 percent for the first time in 12 months. The smaller year-over-year rate of decline was partly due to low-base effects though, as new active listings in October 2022 also recorded a sizeable drop from the prior year. Thirty-one of the 52 counties tracked by C.A.R. posted a decline in new active listings from October 2022, with Calaveras dropping the most at -35.9 percent, while new active listings in Merced (-35.5 percent) and Kings (-31.0 percent) both plunged more than 30 percent year-over-year. Twenty counties recorded a gain in new active listings from a year ago, with Mono (300 percent) adding the most, followed by Del Norte (64.3 percent) and Plumas (47.4 percent).
  • The median number of days it took to sell a California single-family home was 20 days in October and 28 days in October 2022.
  • C.A.R.’s statewide sales-price-to-list-price ratio* was 100 percent in October 2023 and 97.3 percent in October 2022.
  • The statewide average price per square foot** for an existing single-family home was $421, up from $396 in October a year ago.
  • The 30-year, fixed-mortgage interest rate averaged 7.62 percent in October, up from 6.90 percent in October 2022, according to C.A.R.’s calculations based on Freddie Mac’s weekly mortgage survey data.

Note:  The County MLS median price and sales data in the tables are generated from a survey of more than 90 associations of REALTORS® throughout the state and represent statistics of existing single-family detached homes only. County sales data is not adjusted to account for seasonal factors that can influence home sales. Movements in sales prices should not be interpreted as changes in the cost of a standard home. The median price is where half sold for more and half sold for less; medians are more typical than average prices, which are skewed by a relatively small share of transactions at either the lower end or the upper end. Median prices can be influenced by changes in cost, as well as changes in the characteristics and the size of homes sold. The change in median prices should not be construed as actual price changes in specific homes.

*Sales-to-list-price ratio is an indicator that reflects the negotiation power of home buyers and home sellers under current market conditions. The ratio is calculated by dividing the final sales price of a property by its original list price and is expressed as a percentage. A sales-to-list ratio with 100 percent or above suggests that the property sold for more than the list price, and a ratio below 100 percent indicates that the price sold below the asking price.

**Price per square foot is a measure commonly used by real estate agents and brokers to determine how much a square foot of space a buyer will pay for a property. It is calculated as the sale price of the home divided by the number of finished square feet. C.A.R. currently tracks price-per-square foot statistics for 51 counties.

Leading the way…® in California real estate for more than 117 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States with more than 200,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

October 2023 County Sales and Price Activity 
 (Regional and condo sales data not seasonally adjusted) 
October 2023Median Sold Price of Existing Single-Family HomesSales
State/Region/CountyOct.2023Sept.2023Oct.2022PriceMTM%ChgPriceYTY%ChgSales MTM%ChgSales YTY%Chg
Calif. Single-family
homes		$840,360$843,340$798,140r-0.4 %5.3 %0.3 %-11.9 %
Calif.
Condo/Townhomes		$660,000$650,000$620,000r1.5 %6.5 %-0.9 %-7.8 %
Los Angeles Metro Area$785,000$780,000$742,0000.6 %5.8 %2.4 %-7.6 %
Central Coast$1,050,000$950,000$937,50010.5 %12.0 %0.0 %1.9 %
Central Valley$473,000$481,000$455,000r-1.7 %4.0 %-3.9 %-11.3 %
Far North$376,000$385,000$392,750r-2.3 %-4.3 %11.5 %-2.3 %
Inland Empire$561,410$550,000$550,0002.1 %2.1 %-0.9 %-9.3 %
San Francisco Bay Area$1,268,940$1,300,000$1,200,000r-2.4 %5.7 %8.8 %-3.9 %
Southern California$820,000$820,000$770,0000.0 %6.5 %3.0 %-7.4 %
San Francisco Bay Area
Alameda$1,240,000$1,300,000$1,213,000r-4.6 %2.2 %0.2 %-10.7 %
Contra Costa$824,950$871,250$850,000r-5.3 %-2.9 %6.7 %-8.0 %
Marin$1,712,500$1,650,000$1,668,500r3.8 %2.6 %27.7 %-3.8 %
Napa$1,027,500$890,000$975,00015.4 %5.4 %39.0 %49.1 %
San Francisco$1,650,000$1,580,000$1,692,5004.4 %-2.5 %38.5 %5.3 %
San Mateo$2,100,000$1,955,000$1,900,0007.4 %10.5 %-2.2 %1.9 %
Santa Clara$1,805,000$1,853,000$1,625,000-2.6 %11.1 %7.3 %-1.3 %
Solano$620,000$585,680$580,000r5.9 %6.9 %8.6 %-11.4 %
Sonoma$857,500$848,000$797,5701.1 %7.5 %16.6 %2.7 %
Southern California
Los Angeles$893,650$914,640$854,560-2.3 %4.6 %8.3 %-5.8 %
Orange$1,275,000$1,310,000$1,165,000-2.7 %9.4 %-1.7 %-4.1 %
Riverside$620,960$600,000$599,9903.5 %3.5 %-3.5 %-11.0 %
San Bernardino$481,500$475,000$465,0001.4 %3.5 %3.5 %-6.5 %
San Diego$936,250$973,100$860,000-3.8 %8.9 %5.7 %-6.4 %
Ventura$899,000$962,500$855,000-6.6 %5.1 %-6.9 %-20.3 %
Central Coast
Monterey$1,122,500$943,340$865,00019.0 %29.8 %-5.3 %-4.6 %
San Luis Obispo$887,620$888,000$815,0000.0 %8.9 %-8.1 %0.6 %
Santa Barbara$1,370,000$1,030,000$1,115,00033.0 %22.9 %11.0 %4.5 %
Santa Cruz$1,229,000$1,165,000$1,362,0005.5 %-9.8 %6.8 %10.0 %
Central Valley
Fresno$410,000$410,000$400,0000.0 %2.5 %3.6 %-8.8 %
Glenn$363,000$300,000$310,00021.0 %17.1 %27.3 %27.3 %
Kern$395,000$383,000$379,9803.1 %4.0 %9.4 %-2.9 %
Kings$360,000$370,750$328,000-2.9 %9.8 %33.9 %7.8 %
Madera$435,000$410,000$400,0006.1 %8.7 %-24.8 %-2.0 %
Merced$392,750$384,500$380,0002.1 %3.4 %-11.6 %-11.6 %
Placer$685,000$665,000$645,0003.0 %6.2 %-15.2 %-18.6 %
Sacramento$550,000$545,000$510,000r0.9 %7.8 %-4.7 %-10.4 %
San Benito$780,000$761,250$761,0002.5 %2.5 %-8.8 %-16.2 %
San Joaquin$550,000$550,000$523,750r0.0 %5.0 %-4.4 %-7.0 %
Stanislaus$460,000$469,500$434,500r-2.0 %5.9 %3.5 %-28.0 %
Tulare$358,500$385,000$369,000-6.9 %-2.8 %-21.3 %-14.6 %
Far North
Butte$421,400$429,420$438,750-1.9 %-4.0 %5.3 %-10.0 %
Lassen$247,500$181,250$290,50036.6 %-14.8 %57.1 %46.7 %
Plumas$385,250$441,250$442,500-12.7 %-12.9 %50.0 %23.5 %
Shasta$389,500$385,000$382,2501.2 %1.9 %-5.1 %-16.2 %
Siskiyou$295,000$325,000$326,750-9.2 %-9.7 %125.0 %18.4 %
Tehama$370,000$310,000$272,50019.4 %35.8 %-34.4 %-25.0 %
Trinity$320,000$320,000$300,0000.0 %6.7 %110.0 %600.0 %
Other Calif. Counties
Amador$410,000$414,250$373,750r-1.0 %9.7 %32.5 %10.4 %
Calaveras$405,500$537,500$414,500-24.6 %-2.2 %-6.3 %-1.6 %
Del Norte$307,500$400,000$389,900-23.1 %-21.1 %-23.1 %-47.4 %
El Dorado$660,000$685,000$679,500r-3.6 %-2.9 %-7.5 %-8.4 %
Humboldt$432,500$422,500$439,5002.4 %-1.6 %-8.5 %-17.3 %
Lake$365,000$260,000$353,00040.4 %3.4 %23.5 %0.0 %
Mariposa$485,000$432,500$399,00012.1 %21.6 %62.5 %-18.8 %
Mendocino$430,000$448,000$522,500r-4.0 %-17.7 %-13.3 %-7.1 %
Mono$1,050,000$935,000$960,00012.3 %9.4 %-27.8 %18.2 %
Nevada$538,000$563,000$532,500-4.4 %1.0 %-12.3 %-2.1 %
Sutter$425,750$430,000$425,000r-1.0 %0.2 %-33.3 %-4.5 %
Tuolumne$410,000$419,000$368,260-2.1 %11.3 %11.6 %-1.3 %
Yolo$629,900$608,640$595,0003.5 %5.9 %1.1 %-7.8 %
Yuba$424,900$433,250$404,950r-1.9 %4.9 %-4.2 %-19.8 %
r = revised
October 2023 County Unsold Inventory and Days on Market 
 (Regional and condo sales data not seasonally adjusted) 
October 2023Unsold Inventory IndexMedian Time on Market
State/Region/CountyOct.2023Sept.2023Oct.2022Oct.2023Sept.2023Oct.2022
Calif. Single-family homes2.72.83.1r20.018.028.0r
Calif. Condo/Townhomes2.82.72.820.018.026.0r
Los Angeles Metro Area2.92.83.523.021.030.0r
Central Coast2.93.03.015.018.024.0r
Central Valley2.82.73.0r17.016.026.0r
Far North4.04.84.238.035.032.5r
Inland Empire3.53.33.926.025.033.0r
San Francisco Bay Area2.02.32.2r16.014.025.0r
Southern California2.82.83.421.020.028.0r
San Francisco Bay Area
Alameda1.61.61.9r13.011.017.0r
Contra Costa1.51.62.2r14.012.023.0
Marin2.23.12.1r43.556.050.5r
Napa4.06.15.2r50.052.058.0r
San Francisco2.53.72.836.528.043.5r
San Mateo2.32.42.312.011.013.0
Santa Clara1.51.81.88.08.013.0
Solano2.52.82.1r41.035.049.0r
Sonoma2.93.72.7r59.057.053.0r
Southern California
Los Angeles2.82.73.621.019.026.0r
Orange2.32.32.821.519.033.0r
Riverside3.43.03.926.025.033.0r
San Bernardino3.63.84.025.024.033.0r
San Diego2.32.53.014.014.022.0r
Ventura2.62.32.432.031.538.0r
Central Coast
Monterey2.82.83.214.515.025.0
San Luis Obispo3.02.93.017.521.029.0r
Santa Barbara2.73.02.816.017.018.0
Santa Cruz3.03.53.213.517.021.5
Central Valley
Fresno3.13.33.414.016.521.5r
Glenn3.45.04.475.014.056.0r
Kern2.32.53.113.010.021.0
Kings1.92.92.812.012.514.0
Madera6.64.35.330.532.527.0r
Merced2.72.83.517.021.045.0r
Placer2.82.52.9r25.021.031.0r
Sacramento2.22.12.8r16.015.027.0r
San Benito4.53.93.823.017.035.0
San Joaquin2.62.52.7r18.014.036.0r
Stanislaus2.52.62.3r20.018.027.5r
Tulare3.72.93.715.011.013.0
Far North
Butte2.92.93.420.020.524.5r
Lassen5.08.68.146.562.563.0
Plumas3.76.54.149.542.039.5r
Shasta4.14.13.837.535.027.5
Siskiyou4.612.34.641.053.564.0r
Tehama6.34.36.758.049.570.0
Trinity4.611.2NA91.056.514.0
Other Calif. Counties
Amador4.76.84.1r33.036.022.0r
Calaveras3.94.24.617.035.559.0
Del Norte8.76.23.313.023.035.0r
El Dorado4.14.23.3r33.027.038.0r
Humboldt5.65.24.028.519.015.5
Lake6.48.36.036.036.039.0r
Mariposa7.914.35.280.042.539.0r
Mendocino8.47.56.9r66.070.064.5r
Mono2.01.63.436.019.0111.0
Nevada4.33.84.038.032.551.0r
Sutter2.92.04.0r29.518.027.5r
Tuolumne4.35.23.930.029.040.0r
Yolo2.52.72.1r18.018.529.0r
Yuba3.33.23.1r21.015.531.5r
r = revised

SOURCE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.)