South Bay's Market Trend | Summer 2020
Summer 2020 is here, and we are adapting to the new changes that occurred during spring. Let me share the most frequently asked question from homeowners these past couple of weeks.
Q: How does the market look like right now, post quaratine due to COVID-19?
The market is very hot for sellers, and it is due to low inventory and high buyer demand in the market. According to the graph below, LA County had 11.4% decrease in supply in June 2020 compared to the previous year. The remarkably low interest rates in the 3% range sparked buyers’ interest to purchase a home.
Going back to basic economics, a low supply and high demand leads to an increase in price. The average days on market in LA county is 19 days according to our data, and the average sales price increased to 3.9%.
As a seller, you will be selling your home at asking price or higher in a short amount of days than the usual average. As a buyer, you will be buying your home with the lowest interest rate, which means that your mortgage monthly payment will be mostly principal.
In conclusion, take advantage of this current market trend and the opportunity to sell your home for top dollar, and or, buy your next home in the South Bay!