The California Association of Realtors released its monthly report detailing the state of affairs, with California experiencing a tight supply in inventory that is affecting housing affordability.
C.A.R.‘s April Market Pulse Survey, which relies on feedback from 300 California Realtors, showed a decline in listing appointments and open house traffic. The survey based its findings off Realtor opinions about the near future.
One of the biggest concerns revealed in the monthly survey showed Realtors’ fears with the staggering inventory. Others’ worries were focused more on housing affordability and overinflated home prices — two key factors in a declining inventory.
A recent Quicken Loans report on the House Price Perception Index (HPPI) showed that homeowners on the west, specifically in San Francisco, Los Angeles and San Diego, mostly undervalued their homes.
Pending sales by region
The number of pending home sales increased 4.1 percent year-over-year on the Pending Home Sale Index (PHSI), the highest mark since March 2012.
Certain major markets in California seem relatively unaffected by the supply issues other regions are facing. In Southern California, pending sales increased in double-digit numbers in Orange County and Riverside.
The Central Valley set its PHSI record in April, a 2 percent increase since a year prior.
The only market that did not see year-over-year increases in pending sales was Sacramento, dipping 0.2 percent.
The San Francisco-Bay Area’s pending sales dropped since March but were up 1.6 percent overall year-over-year. The Santa Clara and Monterey regions experienced the most growth in pending sales with 13.7 percent and 15.8 percent, respectively.
According to C.A.R.’s April Market Pulse Survey, the lot of homes that sold above the asking price dropped for the first time since December 2015, although it only decreased to 32 percent. On the other hand, the chunk of homes that sold under asking price rose to 40 percent.
