June 2020 Los Angeles Real Estate Market Outlook
Aria Properties presents you with June’s Los Angeles real estate market outlook. Memorial Day is the seasonal peak for real estate, and it is different this year. We’re up to 69,000 new listings this week in the US, which is a significant improvement… but still well below normal for this time which is around 100,000 new listings, with the average number of active properties in Los Angeles being around 1500.
Despite the increase in the new listings, we are in a tremendous shortage of properties with the total inventory falling for the past several weeks to 724,000 single-family homes for sale in the US. The real estate supply simply cannot keep up with demand. This trend has exacerbated each week, reinforcing the strong seller’s market around the country.
Properties in all the price points, even luxury, are responding to this dramatic shortage of supply by either keeping the prices stable or even slightly appreciating.
We have plenty of pent up demand with price strength extending into June. If we get to a point where we see the unpaid mortgages being forced to be sold in foreclosure, we’ll see the impact on the median price of new listings, driving the prices down. However, no foreclosures are happening in the US right now. Even the properties that would have been in foreclosure are not happening due to the government’s protectionary policy.
That is it for our June Los Angeles Real Estate Market Outlook.
Data Provided by our dear friends at AltosResearch.com