Home prices in San Fernando Valley hit 9-year high

Median sales price hit $610,000 in April: report

May.May 27, 2016 09:30 AM

Prices in the Valley have hit a new peak.

Prices for previously owned single-family homes in the San Fernando Valley hit a nine-year high last month, with the median price hitting $610,000, according to a report by the Southland Regional Association of Realtors cited by the L.A. Daily News.. That price growth is thanks in part to low inventory and growing demand for homes.

Since last April, the median price has increased by 10 percent, or $55,000, according to the realtors’ association, which is based in Van Nuys. But prices are still slightly below the all-time record of $655,000, set in June 2007. Condos also saw an increase in price, albeit a smaller one. The median price grew 3 percent from last year to $359,000, but declined $23,000 from March.

“What’s happening here in the Valley mirrors experiences in many parts of California,” Jim Link, the Association’s chief executive officer, said in a statement. “It does not mean it’s a bad market. It’s just the new reality, with fewer choices and higher prices making it more difficult to purchase a home.”

In this competitive market environment, in which multiple offers are common, buyers are pressured to put down larger down payments and make faster decisions, Link added.

There were 1,434 condos and houses at the end of April, down 1,543 from 2015, Southland Regional found. That marks a 2.1-month supply for the sales pace, or about four months short of what experts deem a balanced market supply.

The strained inventory may have something to do with empty-nesters refusing to sell and downgrade, the realty association’s president Gina Uzunyan said in a statement.

Sales of new homes, however, are growing across the country. The volume of sales nationwide has grown 17 percent since March — the fastest increase in nearly 10 years. [LADN]Cathaleen Chen

Related Articles

Los Angeles homes (Credit: iStock)

SoCal home-buying saw most active July in 4 years amid falling mortgage rates

CEO of Public Storage Ronald L. Havner Jr. and the site in North Hollywood (Credit: Google Maps)

Public Storage is planning to nearly quadruple its space in North Hollywood

Scott Laurie, chief executive of Olson Co. and Christopher Thornberg, founding partner of Beacon Economics

How slow can you go? Statewide homebuilders tap brakes on new projects amid rising costs

Optimus Properties, LLC cofounders Kamyar Shabani and K. Joseph Shabani and the building

Healthy investment: Optimus Properties buys medical office tower near $500M hospital expansion

SCI paid $32 million for 28 acres next to its Groman Eden Mortuary and Eden Memorial Park (Credit: iStock)

A death services provider outmaneuvered local developers to win this sprawling piece of raw land

Southland Regional Association of Realtors President Dan Tresierras and the San Fernando Valley (Credit: Wikipedia)

San Fernando Valley might be selling homes slowly, but prices just won’t stop rising

Councilmember Bob Blumenfield and Bothwell Ranch

Putting the squeeze on development: LA councilman opposes sale of orange grove

Prologis CEO Hamid Moghadam, NEP’s chief strategy officer Carrie Galvin, and the building

Broadcast production firm inks big lease at Prologis industrial center