Sept. 26–San Diego County’s median home price hit an all-time high of $583,000 in August, real estate tracker CoreLogic reported Wednesday.
The previous record was $579,750 in July. Home prices have been reaching new records for several months, which analysts attribute to job growth, a strong economy and tight inventory.
The big picture: Despite the record-breaking price, sales have been down for months. There were 3,753 home sales in August, down from 4,120 at the same time in 2017 and 4,124 in 2016. A lack of sales can point to financial difficulty for potential buyers, and has a secondary effect of slowing work for many of the jobs connected to the real estate industry.
Andrew LePage, data analyst for CoreLogic, said a lack of affordable homes for sale was one of the main reasons for the summer slowdown.
“Unlike the frenzied market of the mid-2000s,” LePage wrote, “would-be homebuyers today don’t have access to the sort of risky subprime and other loans that fueled a lot of
the homebuying late in the last economic cycle.”
LePage said an increase in mortgage rates was also a factor in a decrease in sales.
Disclaimer: for information and entertainment purposes only