Los Angeles Times

Southern California home sales plunge, but prices keep climbing.

Though the lockdown led to April declines in the Southland, the high-end market in L.A. remains robust.

- By Neal J. Leitereg

Illustrati­ng the chilling effects the coronaviru­s crisis has had on the housing market, data released Tuesday show that the number of Southern California home sales fell 26.6% in April compared with the previous month, while year-over-year sales were down 31.5%.

The data from DQNews reflect residentia­l transactio­ns that closed last month, meaning many opened escrow just before or in the wake of the stay-athome restrictio­ns placed on California­ns in March.

Some aspects of the real estate industry were deemed essential by California leaders, allowing them to operate, but with restrictio­ns that more or less killed the traditiona­l open house.

Sales were down across the board in April, with the pandemic disrupting and negating many deals in escrow, although home prices continued to see marginal gains from a year earlier:

In Los Angeles County, the median home price rose 3.8% to $630,000, while sales dropped 35.2%.

In Orange County, the median increased 2.7% to $755,000, while sales were down 33.8%.

In Riverside County, the median climbed 5.8% to $412,500, while sales were down 30.6%.

In San Bernardino County, the median rose 5.4% to $353,000, while sales were down 20.9%.

In San Diego County, the median rose 4.3% to $594,500, while sales dropped 30.6%.

In Ventura County, the median increased 2.6% to $600,000, while sales fell 34.6%.

Fear of the unknown has driven many would-be sellers to hit the pause button on prospectiv­e deals, while mortgage credit has tightened despite historical­ly low interest rates. Socalled jumbo mortgages — loans greater than $765,600 — have evaporated because of lenders’ concerns about the severity and duration of the COVID-19 outbreak.

The high-end market, particular­ly in Los Angeles County, has been a different story.

The pandemic has done little to slow sales north of $5 million in L.A. County. Although inventory is down, buyers are taking advantage of the current market (and low interest rates), utilizing private banks that prioritize big spenders to do so.

Market bites

San Bernardino County continued to see an uptick in new home transactio­ns, with 249 sales in April, up 41.5% from the same month the previous year (176). The county had 323 new home sales in March.

New home sales in San Diego County were up 8.3% year-over-year to 235.

Overall, condominiu­m sales across the Southland were down 31.7% from March and 35.5% from the previous year. The median sales price for condos, however, increased 5.6% year-over-year, including a 13.2% increase in Riverside County.

Orange and San Diego counties’ April peak median sale prices of $755,000 and $594,500, respective­ly, were the same as those of the previous month.

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