SoCal Housing Prices Soared in November 2017

According to CoreLogic's home price data for November 2017, prices for existing single-family homes in Orange County rose at their fastest pace in about two years -- 6.2 percent, and Los Angeles County’s prices also hit a 21-month high in November, up 7.5 percent year-over-year.

CoreLogic Chief Economist Frank Nothaft said, “Growing numbers of first-time homebuyers find limited for-sale inventory for lower-priced homes, leading to both higher rates of price growth for starter homes and further erosion of affordability,” and per The Orange County Register, the inventory of homes listed for sale fell to a five-year low in late summer 2017, creating more buyer competition and pushing prices higher.

“Low inventory will continue in 2018, as starts and listings are slower than housing demand,” Sue Yannaccone, CEO of ERA Real Estate, said in an email Tuesday. Yannaccone said 2018 is shaping up to be a close reflection of 2017, with a continued rise in home prices. The coming year also is likely to see an influx of more foreign capital into the real estate industry, particularly from Chinese cash buyers, she said.

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