California Housing Market Holds Strong In January 2021
Summary
After a strong December, Californias housing market carried the momentum through to the new year, with double-digit price and sales growth year-over-year in January 2021. A California Association of Realtors report revealed that existing single-family home sales totaled 484,730 in January 2021, up 22.5% year-over-year. "Despite an economy thats slow to recover, the momentum from late last year continued into January, driven by strong growth in Californias core housing markets, especially in the San Francisco Bay Area, where the higher cost areas experienced the most sales growth," said CAR president Dave Walsh, vice president and manager of the Compass San Jose office. "The market outlook is stronger than previously projected as buyer demand continues to outstrip supply, but we do expect the current robust market growth to decelerate later this year as the housing shortage intensifies." According to the report, active listings fell 53.4% from last year and continued to drop more than 40% on a year-over-year basis for the eighth straight month.
