We are excited to announce the release of the Compass Q4 2019 Los Angeles Quarterly Market Insights Report (Micro). This report highlights the prevailing trends shaping the market for each neighborhood. The report is now live and ready to share with your clients and sphere. Click here to view the full write-up.
An active Q4 with stronger sales activity around many parts of Los Angeles suggests a favorable start to 2020. Changes to average home sale prices varied from market to market. The overall number of home sales increase for the Greater Los Angeles area market was more than 7 percent.
Much of the South Bay demonstrated a healthy increase in demand and activity from a year ago. Buyer interest also increased in several more affordable Eastside communities. Sales activity increased in most of the West San Fernando Valley for single-family residences. Sales activity increased in higher priced affluent Westside markets including Beverly Hills, Bel Air and Holmby Hills.
Sales price increases for single-family residences across the Los Angeles region was location-centric. Several Westside communities showed double-digit sales price increases. Conversely, Beach Cities saw price declines. Prices in the San Fernando Valley varied widely from one area to the next, with both increases and sharp declines.
Mortgage rates continue to remain low, a plus for the current market. Hopeful buyers have returned to the market especially in areas where prices have softened. Telling indicators like Days on Market in the fourth quarter, where properties are taking longer to sell, is a welcome reversal for buyers from a strongly competitive inventory constrained housing market that continued into last year. Homebuyers should take note that current housing conditions remain favorable as we begin 2020.