While well below the level of condominium sales of last decade, 132 condos changed owners this July, up 40.4 percent over a year ago and 10.9 percent ahead of this June, the Southland Regional Association of REALTORS® reported on Friday, Aug. 18.
The last time any month posted more condo sales was in September 2005 when 173 closed escrows.
REALTORS® also assisted 222 single-family home sales. That number was down 5.1 percent from July 2016 and off 27.7 percent from this June. For comparison, a record 405 homes sold in June 2005 and 204 condominiums closed escrow in April 2003. This July’s totals were below those records by 45.2 percent and 35.3 percent, respectively.
“In addition to affordability, buyers focus on existing condominium purchases because there are few condominium projects under construction locally,” said Marty Kovacs, chairman of the Santa Clarita Valley Division of the Southland Regional Association of REALTORS®. “Buyers often prefer new construction over existing homes or condos, but today there is little inventory available for sale in either category, regardless of price range.”
There were 520 active listings of homes and condos in Santa Clarita at the end of July. That was down 16.9 percent from a year ago and represented a mere 1.5-month supply at the current pace of sales.
“With only two exceptions, the number of homes and condominiums listed for sale has declined every month since January 2015,” said Tim Johnson, the Association’s chief executive officer. “Sales would be much closer to a decade ago if only there were more homes listed for sale.
“As a result of the tight inventory and pent up demand for homes, especially in lower price ranges, prices likely will continue to rise, though at a slower pace,” Johnson said.
The median price of homes sold during July was $584,600, up 4.4 percent from a year ago and off 0.2 percent from this July, which was the highest monthly median home price since June 2007. The July median home price was 9.1 percent below the record high of $643,000 that was set in April 2006.
The condominium median resale price of $385,000 was up 8.2 percent from a year ago. It was 9.8 percent below the record of $397,000 established in January 2006.
Pending escrows — a measure of future sale activity — totaled 370, up 11.4 percent from a year ago.
Of the 354 combined residential transactions reported, 98.3 percent were standard sales involving traditional buyers and sellers. This July there were a total of four foreclosure-related transactions, for a 1.1 percent share of the market, and two short sales, which held a 0.6 percent market share.
The Southland Regional Association of REALTORS® is a local trade association with more than 9,800 members serving the San Fernando and Santa Clarita Valleys. SRAR is one of the largest local associations in the nation.
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